CIS PIG IRON DOWNTURN PREDICTED TO CONTINUE

摘要

Export prices out of CIS (Russia and Ukraine) countries have continued to falter over recent weeks. Compared to one month ago (see page 3 table), Baltic (Russian) and Black Sea (primarily Ukrainian) prices have slipped between 4-6% or roughly $15/tonne FOB.The underlyingweakness reflects a faltering cost base, lowerdemand conditions, and in the case of Ukraine, accordingto anecdotal evidence, a revival in supply: all ofwhich threaten to extend the downtrend over the next few months.