February Ferrous Metals Report

  • 23 Mar 2018
  • By CME Group
  • Topics: Metals

Ferrous Updates

  • U.S. Midwest Busheling Ferrous Scrap (AMM) futures volume for February 2018 was another record month 5,461 lots/ 109,220 gross tons (+3,100% YoY).
  • CME Busheling contract trades soar in February. Read the AMM article..
  • U.S. Midwest Domestic Hot-Rolled Coil Steel (CRU) Index futures – February was the second most active volume month, after January, with 9,072 lots/ 181,440 short tons (+216% YoY).
  • U.S. administration Section 232 investigation led to proclamation of 25% import tariff on steel effective March 23 with a number of countries since excluded from the tariff including Argentina, Australia, Brazil, Canada, Mexico, South Korea and the EU.
  • This led to increases in both HRC and BUS volume as market participants looked to manage their price risk on exchange using futures.
  • February 2018 Iron Ore futures (TIO) traded up to $78.80/mt as steel mills in Tangshan, China’s largest steel producing region cut production as part of a campaign to improve air quality.

Ferrous Futures Month-on-Month Change in Forward Curve and Open Interest

US Ferrous Volume Growth

Trade the spread between BUS U.S. Midwest Busheling Ferrous Scrap (AMM) Futures and HRC U.S. Midwest Domestic Hot-Rolled Coil Steel (CRU) Index Futures

Monthly Ferrous Volumes

If you have any questions or would like more information regarding this weekly communication, please contact metals@cmegroup.com.

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