Trading in steel billet at the London Metal Exchange has rocketed in the first quarter of 2011, up 305 per cent compared with the corresponding period last year.
In the first three months of this year, 69,426 lots were traded (2010: 17,134 lots), equivalent to 4.5 million tonnes (2010: 1.1 million tonnes). Market open interest has also jumped by 11 per cent, to 2,674 lots at the close of 31st March (31st March 2010: 2,400 lots). The total notional value of all contracts traded in the first quarter was USD$2.5 billion.
Chris Evans, Head of Business Development at the LME, says: “The LME Steel Billet contract continues to perform well and is attracting broad user interest. We have seen a noticeable pick up in business since announcing we would create a global contract in March last year and 2011 is already on track to be another record year of steel trading.”