The world steel market is currently unstable. Quotations for steel products fluctuate in a narrow interval without a clear system, although their overall movement is rather directed down. The the same indefinite situation are the prices of metallurgical raw materials. Scrap metal is looking for new landmarks after a sharp fall in Europe and Turkey, which happened in the first half of June. When supplied to China the iron ore is relatively stable, the quotes are rising, then fall under the influence of short-term fluctuations on local commodity exchanges. However, at the end of June the market can decide on the direction and go into decline due to the outcome of the referendum on the the UK exit from the EU.

Turkish metallurgical companies, resuming purchases of scrap metal at the end of the first decade of June, subsequently did not show significant activity, pushing suppliers to new reductions.

The perspective of Britain exit from the EU, although relatively remote, may cause a fairly steady growth in the dollar exchange rate and a drop in quotations for all types of minerals, including oil and steel goods. The scrap will be involved in this process.

Stock quotes on the armature at the Shanghai Futures Exchange rose to the highest level in the last month causing as well the increase in the iron ore price.

Andrew McKenzie, BHP Billiton CEO made a speech with extremely pessimistic comments on the future of the world iron ore market. In his opinion the excess supply of ore will remain for another ten years, and within this time the quotes will be at a low level.