The weekly Davis Index for basic pig iron (BPI) surged by $45/mt to $652/mt cfr New Orleans port on Friday on higher-priced sales from Southern Brazil along with rising offer prices from bullish CIS and Brazilian producers.
The last BPI deals were from Southern Brazil at $640-650/mt cfr Nola, following last week’s transaction at $620/mt cfr Nola, for lowered grade material. The latest price points for BPI imports have soared by $76/mt in one month compared to the grade transacting at around $576/mt cfr Nola on Apr 16.
Most recent offers from Brazilian producers stand at $635-640/mt cfr Nola which equates to $645-650/mt cfr Nola for a normal grade equivalence. CIS offers for BPI are currently at $660-720/mt cfr Nola while US buyers are viewing the next spot purchase to settle at around $650-660/mt cfr Nola.
For comparison, Chinese traders and mills are actively examining the pig iron market. Presently, bids from China are close to US levels, at around $650/mt cfr China. Recent Russian sales were reported at $630/mt fob Black Sea to Turkey, $650/mt fob Baltic Sea to Western Europe and to South Korea from Vladivostok at a price equivalent to $670/mt fob Black Sea.
The Davis Index for nodular pig iron (NPI) imports increased by $50/mt to $720/mt cfr Nola. Material availability remains limited and the latest offers involve July or later shipment. Offers heard for NPI this week start at $710/mt cfr Nola and are as high as $750/mt cfr Nola, with bids just below these points.
US hot briquetted iron (HBI) imports increased by $30/mt to $470/mt cfr Nola. Offers or bids have not been heard recently but the grade’s price is estimated based on the most recent offer levels and price movements occurring with similar alternative grades.