Marex Spectron launches ferrous analytics

Marex Spectron, the global commodities broker, today announced that its Market Analytics team is launching a new range of ferrous-focused products, in response to growing client interest and as part of the LME Category 1 Member’s investment in the ferrous market.

These new analytics will cover Hot Rolled, Scrap and Rebar Steel, Coking Coal and Iron Ore.

The Market Analytics team’s Nanolytics® data is already widely used in the non-ferrous space, as is its widely-followed LME Speculative Positioning Report. The team, which is run by Dr Guy Wolf, has also recently launched products focused on the LME carry market and, in a joint venture with Earth-I, has been developing SAVANT, a satellite-image analysis product focused on ‘real-time’ fundamental measures of supply and demand.

Dr Guy Wolf commented: “The success of the LME Steel Scrap contract has triggered ‘escape velocity’, in terms of interest from our client base. This is a major physical market that historically has not led to a proportionately large derivatives market. But we believe the tide has turned, with these products providing uncorrelated return opportunities and inter-commodity trade opportunities and the level of interest we see strongly suggests this area will see significant growth over the coming years. These new products are in response to that interest and support our client’s activities just as we do in non-ferrous.”

Simon van den Born, Marex Spectron’s Global Head of Metals, added: “As the leading LME broker by market share, we have invested in our execution offering to support the LME Steel Scrap and Rebar contracts and are already seeing the return on that investment. Our focus is now the new LME contract launches, which we are supporting with our full range of services.”