Davis Index: Market Intelligence for the Global Metals and Recycled Materials Markets

The weekly Davis Index for basic pig iron (BPI) decreased by $2/mt from $327/mt cfr New Orleans to $325/mt cfr Nola on Thursday as offer prices remained parallel to sales prices into China. However, material supply is tight and US buyers have been inactive.


The most recent US BPI sale was confirmed at $320/mt cfr Nola in early June. Producers are offering material at $350-355/mt cfr Nola based on CIS-origin sales to China at around $357/mt cfr last week. However, US buyers are reluctant to match price levels in China amid weak demand and sufficient availability of scrap at present.


Some market participants believe the BPI price will increase in the US due to Chinese activity and since production has been sold into October-November. However, others are of the opinion that BPI prices have peaked and will trend downward shortly as demand slows down in China.


The Index for nodular pig iron (NPI) imports increased by $3/mt from $375/mt cfr Nola to $378/mt cfr Nola as new offers for the material range from $375-$390/mt cfr Nola. Sales have not been confirmed. 


The weekly Davis Index for US hot briquetted iron (HBI) imports remained at Nola to $233/mt cfr Nola amid low demand and import activity for the grade.

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