Scrap to see gains over iron ore with China policies: Morgan Stanley

摘要

London—The ferrous scrap-to-iron ore price ratio is close to all-time lows, and scrap may rise and regain ground with iron ore as China’s pollution-cutting policies incentivize scrap use, investment bank Morgan Stanley said April 1. Both scrap and iron ore are at relatively high levels and supported by record steel prices. The Platts Turkey import scrap to iron ore outright price ratio was 2.57 on April 1, compared with close to 6 three years ago when iron ore prices were depressed, partly due to new iron ore production capacity increases in Australia.