IN CASE YOU MISSED IT: 5 key stories from May 6

With LME Asia Week now in full swing, Fastmarkets MB takes an in-depth look at one of the topics likely to dominate discussions at this year’s event: How will aluminium premiums in Japan and South Korea likely fare for the rest of the year?

Nearly 1,500 delegates will descend upon Singapore this week to attend the seventh edition of Singapore Exchange’s (SGX) annual Singapore Iron Ore Week.
Much of the conversation at last year’s event revolved around the need for suitable risk mitigation tools in the iron ore market amid wide and volatile grade differentials due to the Chinese government’s environmental protection policy and robust mills’ margins.

Ferrous scrap will be the “next big thing” for commodity-based derivatives in Asia, according to the Singapore Exchange. It is one key commodity that the SGX is looking at to expand its slew of ferrous derivatives under the “virtual steel mill” concept, in addition to the iron ore and coking coal contracts that are already trading well on its platform, the exchange’s head of commodities, William Chin, told Fastmarkets MB.

Copper stocks in Shanghai-bonded warehouses rose slightly in April compared with March, while muted trading activity last month pushed the bonded warrant premium for the red metal to a 13-month low.

Russian billet and rebar producer Abinsk Electic Steel Works (Abinsk) has entered into a definitive agreement with compatriot Severstal to buy its long-products mini-mill in Balakovo in the Volga federal district. The transaction, worth $215 million, is expected to be completed by the end of June, following the receipt of approvals and other standard conditions.