Macquarie Bank pointed out in a recent report that the world steel price is now reaching the bottom level and just about to recover thanks to the warming up demand globally.

According to the statistics of World Steel Dynamic, by the end of June 8th 2009, the prices of hot rolled products have started to stabilize. HRC price in the USA inched up 1% reaching USD 433 per tonne, that in China market up 2% posting at USD 429 per tonne, while that in other markets increased 2% approaching USD 402 per tonne.

In the report, Macquarie Bank said that the actual market situation is even more positive than WSD's assessment. The Bank believes globally the HRC price offered by some mills climbed nearly 10%. On Wednesday, Baosteel, China's steel titan, announced to hike its HRC ex work price by 15%, following European mills. It is said that HRC prices of China's mills are likely to increase 7% in the coming July.

It added that "The demand recovering is seen across the world, in the US market, the apparent consumption in April was 65 million tonnes per year, while that in the previous month posted at only 57 million tonnes."