BRAZILIAN PRICES SLIP AMID SOFTENING SCRAP PRICES IN THE USA

摘要

As we expected, Brazilian pig iron prices have come under further pressure in June though suppliers suggest a lack of merchant supply has provided some support. Indeed though thefull picture is notfullyclearfor June with more assessments to be made before the end of the month, prices are likelyto average around $330/tonne FOB for Vitoria, about$8/tonne higherthan what we forecast in May. Assessments aside, the latest recorded deal, in late June, fell to just $325/tonne FOB, $i5/tonne below the previous deal one month ago and market participants have suggested lower scrap prices in the USA have played a part in the ongoing downturn.