LONDON, Nov. 23, 2015 /PRNewswire/ -- The London Metal Exchange (LME) is utilizing Platts and TSI's physical market price assessments for steel reinforcing bar (rebar) and steel scrap, respectively, to settle and clear two new ferrous futures contracts launched today. Platts is a leading global provider of energy, metals and agriculture information and acquired The Steel Index (TSI) in 2011. Today's futures contracts launch follows the LME's October 27, 2015 announcement of its plans to use the Platts and TSI prices as the basis for settling its contracts.
"In launching the first cash-settled contracts in its 138-year history, we're delighted that the LME has recognized the quality of Platts and TSI's price assessments, not only as benchmarks in the physical markets, but for derivatives as well," said Andrew Goodwin, Platts general manager of metals, petrochemicals and agriculture.
The Platts Rebar FOB Turkey Price assessment is being used as the monthly settlement price of the LME Steel Rebar futures contract. The TSI Turkish Scrap Imports HMS #1&2 80:20 Price is being used as the monthly settlement price of the LME Steel Scrap futures contract.
"Turkey is traditionally the world's largest importer of scrap steel, a key input in making steel, and largest exporter of steel rebar used in construction markets world-wide," added Steven Randall, global director of content for Platts metals & TSI. "As such, these prices are benchmarks closely watched by the global steel industry. The LME's new contracts provide the industry with valuable hedging tools to help manage price risk in these volatile markets."
In addition to the LME, other global exchanges and clearing houses including the Singapore Exchange, CME Group, LCH Clearnet, Intercontinental Exchange (ICE), Borsa Istanbul and NASDAQ OMX, utilize Platts and or TSI price assessments for settling and clearing ferrous derivatives contracts.
For more information on LME's new Platts-based steel contracts visit the LME website.
Platts Rebar FOB Turkey and TSI Turkish scrap imports price assessments, along with relevant market news are available to view online today via their respective webpages. Visit the Platts page here and visit the TSI page here.
For details of the methodology that underpins Platts' price assessment processes, visit this Platts Methodology link. Details of TSI's price compilation methodology may be found at this TSI Methodology link.
For more information on the physical markets for ferrous and non-ferrous metals and related instruments, visit the Platts website at www.platts.com.
*Platts does not sponsor, endorse, promote or sell LME contracts.
Global, Americas, Asia: Kathleen Tanzy, + 1 917 331 4607, firstname.lastname@example.org
About Platts: Founded in 1909, Platts is a leading global provider of energy, petrochemicals, metals and agriculture information and a premier source of benchmark prices for the physical and futures markets. Platts' news, pricing, analytics, commentary and conferences help customers make better-informed trading and business decisions and help the markets operate with greater transparency and efficiency. Customers in more than 150 countries benefit from Platts' coverage of the biofuels, carbon emissions, coal, electricity, oil, natural gas, metals, nuclear power, petrochemical, shipping and sugar markets. Platts acquired The Steel Index (TSI) in July 2011. A division of McGraw Hill Financial, Platts is based in London with more than 1000 employees in more than 15 offices worldwide. Additional information is available at http://www.platts.com.
About McGraw Hill Financial: McGraw Hill Financial (NYSE: MHFI) is a leading financial intelligence company providing the global capital and commodity markets with independent benchmarks, credit ratings, portfolio and enterprise risk solutions, and analytics. The Company's iconic brands include Standard & Poor's Ratings Services, S&P Capital IQ and SNL, S&P Dow Jones Indices, Platts, CRISIL and J.D. Power. The Company has approximately 20,000 employees in 31 countries. Additional information is available at www.mhfi.com.