Commodities Buzz 09 February

Global Steel Output Forecast Optimistic For 2016

It is noted that the worldwide steel demand has reduced and cost slide fall in 2015, due to Chinese financial slow further. However, the analysts are positive about the US and European markets would publish more demand in present year and worldwide steel mills except China would recover the complex condition. According to the British Financial Times showed that 18 analysts forecasts 2016 worldwide crude steel output would raise of 0.15 Per cent, due to improving wealth for the United States and Europe. Amid them, US's steel production would anticipate to boost by 3 Per cent in 2016; EU's steel production out would boost by 0.9 Per cent in 2016, correspondingly.

Chinese Stainless Steel Production Declines in 2015

Stainless Steel Council of China Special Steel Enterprises Association released statistical data, in 2015; China's stainless crude steel production achieved 21.5622 million tons, fall by 0.6 Per cent y-o-y to 129,500 tons, which is the 1th fall since 2008. In 2015, China imported 726,000 tons of stainless steel, falls by 11.89 Per cent y-o-y to 98,000 tons; China exported 3.416 million tons of stainless steel, and boost of 11.27 Percent y-o-y to 434,000 tons.

Russia Becomes Leading Global Wheat Exporter In 2016

Wheat exports from Russia are likely to set a new record present year, outpacing the leading wheat exporters Canada and the US, as the hottest report from US Department of Agriculture (USDA). According to USDA statistics, Russian exports present year will grow 3% to 23.5 million metric tons. US wheat exports are projected to drop to a 44-year low, to 21.8 million tons. Canada's exports are anticipated to be 20.5 million tons, fall from 24.1 million the year last.

Record crops, a health dollar and cheap oil are the issues which could shake up the multibillion-dollar worldwide wheat market. While the cost for wheat is declining, a health US dollar makes American wheat more expensive for purchasers using other currencies. On the contrary, a weaker Russian ruble makes the country's exports more competitive, with long-standing US clientele shifting wheat buys to Russia. Africa’s leading wealth Nigeria was once a top US wheat purchaser but has reduced the buys by almost 1/2 in the past 5 years. Russia has increased exports to one of its leading clients Egypt. Exports presently average 4-5 million tons a year are anticipated to achieve 6 million 10/year. Moscow and Cairo are also discussing Russian participation in the construction of grain infrastructure in Egypt