S&P Global Energy Celebrates Ten-year Anniversary of Platts Benchmark Steel Rebar and Scrap Assessments as Settlement Basis for London Metals Exchange

Rhea-AI Summary

S&P Global Energy (NYSE: SPGI) marks the 10-year anniversary of its Platts steel scrap and rebar price benchmarks serving as the settlement reference for two London Metals Exchange futures contracts launched on November 23, 2015.

The benchmarks are the Platts HMS 1/2 80:20 CFR Turkey scrap assessment and the Platts Steel Rebar FOB Turkey assessment. Platts notes record futures volumes in 2024 and cites growing use by exchanges, buyers, sellers, risk managers and governments. Platts launched the rebar assessment on June 5, 2006 and has published the scrap assessment since 2011. The release also highlights the potential market influence of the Carbon Border Adjustment Mechanism in 2026.

News Market Reaction

-0.71%

1 alert

-0.71% News Effect

On the day this news was published, SPGI declined 0.71%, reflecting a mild negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Benchmark tenure: 10 years Launch date: November 23, 2015 Rebar assessment launch: June 5, 2006 +3 more

6 metrics

Benchmark tenure 10 years Platts scrap and rebar benchmarks as LME futures settlement references

Launch date November 23, 2015 LME launch of steel scrap and steel rebar futures contracts

Rebar assessment launch June 5, 2006 First publication of Platts Rebar FOB Turkey price assessment

Scrap assessment since 2011 Platts HMS 1/2 80:20 CFR Turkey price assessment publication after TSI acquisition

Scrap mix ratio 80% HMS 1, 20% HMS 2 Composition of heavy melting scrap in HMS 1/2 80:20 CFR Turkey benchmark

CBAM start year 2026 Carbon Border Adjustment Mechanism steel import tax start for Europe

Market Reality Check

Price: $465.51 Vol: Volume 2,643,775 is about...

high vol

$465.51 Last Close

Volume Volume 2,643,775 is about 1.8x the 20-day average of 1,469,306, indicating elevated trading ahead of this announcement. high

Technical Shares at $497.56 are trading below the 200-day MA of $508.84, and about 14.07% under the 52-week high of $579.05.

Peers on Argus

Key peers MCO, ICE, CME, MSCI and NDAQ show positive moves between about 0.62% a...

Key peers MCO, ICE, CME, MSCI and NDAQ show positive moves between about 0.62% and 1.95%, while SPGI was up only 0.12%, suggesting a milder stock-specific reaction versus generally stronger peer gains.

Historical Context

5 past events · Latest: Dec 10 (Neutral)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Dec 10	Supply chain index	Neutral	+0.1%	GEP index showed global supply chain slack and weak regional demand signals.
Dec 10	AI partnership	Positive	+0.1%	Multi-year Google Cloud partnership to unify data and expand AI capabilities.
Dec 09	Energy trends report	Neutral	-0.3%	S&P Global Energy outlined key AI-driven and geopolitical energy trends for 2026.
Dec 04	Leadership changes	Neutral	-0.6%	New executives named for Mobility ahead of planned spin-off in 12–18 months.
Dec 01	Debt offering	Negative	-0.8%	Pricing of <b>$1.0 billion</b> in senior notes due 2031 and 2035 via private placement.

Pattern Detected

Recent news events, including debt issuance and strategic partnerships, mostly saw modest share-price moves that generally aligned with the tone of the announcements.

Recent Company History

Over the last several weeks, S&P Global reported stronger Q3 results with revenue of $3,888 million and diluted EPS of $3.86, continued active capital returns, and plans to spin off its Mobility segment. It also priced and then completed a $1.0 billion senior notes offering, and announced leadership appointments tied to the Mobility separation. Additional updates covered AI-driven energy trends and a multi-year AI partnership with Google Cloud. Against this backdrop, today’s benchmark anniversary news reinforces SPGI’s role in critical market infrastructure and data.

Market Pulse Summary

This announcement highlights a 10-year milestone for S&P Global’s Platts steel scrap and rebar bench...

Analysis

This announcement highlights a 10-year milestone for S&P Global’s Platts steel scrap and rebar benchmarks as settlement references for LME futures, underscoring their role in risk management for recycled steel markets. It also notes structural drivers such as Europe’s Carbon Border Adjustment Mechanism starting in 2026. In the broader context of recent earnings strength, debt issuance, and strategic initiatives, this reinforces SPGI’s position in critical pricing infrastructure. Investors may watch how benchmark usage and related derivatives volumes evolve.

Key Terms

futures contracts, cost and freight (CFR), free-on-board (FOB), heavy melting scrap (HMS), +1 more

5 terms

futures contracts financial

"launched steel scrap and steel rebar futures contracts with settlement against"

A futures contract is an agreement to buy or sell a specific quantity of an asset at a set price on a predetermined future date. Investors use them to lock in prices or to bet on price moves; like agreeing today on the price of a loaf of bread you'll buy months from now to avoid surprise cost changes. Because these deals often require only a small upfront payment compared with the contract size, they can both protect against risk and magnify gains or losses.

cost and freight (CFR) financial

"steel scrap delivered to Turkey on a cost and freight (CFR) basis"

Cost and freight (CFR) is a shipping term where the seller pays the transport and loading costs to deliver goods to a named port, but the buyer assumes the risk of loss or damage once the goods are loaded onto the ship. Investors care because CFR affects who bears shipping costs, when risk shifts, and how revenue, insurance exposure, and inventory value are reported — similar to a seller covering taxi fare while the buyer takes responsibility for goods after they step out at the curb.

free-on-board (FOB) financial

"Platts Steel Rebar free-on-board (FOB) Turkey, respectively"

Free-on-board (FOB) is a shipping term that states the exact point when responsibility and costs for goods transfer from seller to buyer—typically when the cargo is loaded onto the ship or carrier. For investors, FOB affects who bears shipping risk, when sales are recorded, and how inventory and transportation costs are reported, much like handing over a car’s keys at a specific spot decides who is responsible if anything happens next.

heavy melting scrap (HMS) technical

"is steel classified as heavy melting scrap (HMS), with a mix of 80%"

Heavy melting scrap (HMS) is discarded iron and steel material—such as old machinery, structural steel or metal parts—collected for melting and reuse in steel furnaces. Investors watch HMS because its availability, quality and price directly affect steelmakers' production costs and margins; changes in HMS markets act like shifts in a key ingredient’s price for a factory, signaling demand for heavy industry and influencing metals and manufacturing stocks.

Carbon Border Adjustment Mechanism regulatory

"is the Carbon Border Adjustment Mechanism, which will tax imported steel"

A carbon border adjustment mechanism is a government policy that charges importers for the greenhouse gas emissions associated with goods produced abroad, matching the price domestic producers pay for carbon. Think of it like a tariff that levels the playing field so companies that face strict pollution rules at home aren’t undercut by cheaper, more polluting imports; investors watch it because it can shift trade flows, profit margins, and competitive advantage across industries.

AI-generated analysis. Not financial advice.

LONDON and NEW YORK and HOUSTON, Dec. 1, 2025 /PRNewswire/ -- S&P Global Energy (formerly S&P Global Commodity Insights) commemorates the 10-year anniversary of its Platts steel scrap and rebar price benchmarks becoming the settlement reference for two of the London Metals Exchange (LME) futures contracts whose popularity demonstrate growing demand for risk management solutions in the growing recycled steel market. S&P Global Energy is the leading independent provider of information, data, analysis and benchmark prices for the energy, petrochemicals, metals, shipping, and commodities markets,

On November 23, 2015, the London Metals Exchange launched steel scrap and steel rebar futures contracts with settlement against the Platts benchmark for spot physical premium steel scrap delivered to Turkey on a cost and freight (CFR) basis, known as Platts HMS 1/2 80:20 CFR Turkey* benchmark, and the Platts spot physical steel rebar benchmark, known as Platts Steel Rebar free-on-board (FOB) Turkey, respectively.

Platts' scrap assessment represents the landed value of this important feedstock in Turkey's three key melting regions, providing a gauge of melters' most significant input cost. Platts' rebar assessment represents the export value of one of the key finished steel products.

"Over the ten years, a growing number of industry participants have used these steel futures contracts to help manage their risk. We saw record volumes in 2024 and with more firms integrating steel futures and risk management into their business models, we expect long-term volume and liquidity growth to continue," said Robin Martin, Head of Market Development, London Metals Exchange (LME).

"It is great to celebrate this milestone for our Platts spot physical steel price assessments as they continue to bring transparency to this growing market," said Matt Eversman, Director, Global Licensing and Exchange Relationships, S&P Global Energy. "As Platts scrap and rebar benchmarks and related derivatives contracts build on their first decade of success, increased attention on carbon intensity of metals products could be another tailwind for growth."

One of the big picture factors, among others, that may improve the economics of steel products made from scrap and could further increase market interest in the metal is the Carbon Border Adjustment Mechanism, which will tax imported steel products to Europe based on carbon intensity starting in 2026.

The spot physical Platts Rebar FOB Turkey price assessment was first launched June 5, 2006, and the scrap HMS ½ 80:20 CFR Turkey price assessment has been published by Platts since 2011 following its acquisition of The Steel Index (TSI), the assessment originator.

Use of Platts price assessments is voluntary, at the discretion of the user, and varied. In addition to exchanges worldwide that license Platts data for use in settling and clearing, buyers and sellers use Platts assessments as the basis for pricing spot transactions and term contracts; risk managers reference them to place a market value on the commodities they hold; analysts use them to identify trends and patterns in supply and demand;  governments use them as references for royalty payments and retail pricing formulas; and more. 

Platts does not sponsor, endorse, promote or sell LME contracts.

* HMS 1/2 80:20 CFR Turkey is steel classified as heavy melting scrap (HMS), with a mix of 80% HMS 1 and 20% HMS 2 (a lower grade) as delivered on a cost and freight basis to ports in Turkey, a key import market.

Media Contacts  
Americas/EMEA: Kathleen Tanzy + 1 917-331-4607, kathleen.tanzy@spglobal.com 
Asia/EMEA: Melissa Tan + 65-6597-6241, melissa.tan@spglobal.com    

About S&P Global Energy
At S&P Global Energy, our comprehensive view of global energy and commodities markets enables our customers to make superior decisions and create long-term, sustainable value. Our four core capabilities are: Platts for pricing and news; CERA for research and advisory; Horizons for energy expansion and sustainability solutions; and Events for industry collaboration.

S&P Global Energy is a division of S&P Global (NYSE: SPGI). S&P Global enables businesses, governments, and individuals with trusted data, expertise, and technology to make decisions with conviction. We are Advancing Essential Intelligence through world-leading benchmarks, data, and insights that customers need in order to plan confidently, act decisively, and thrive economically in a rapidly changing global landscape. Learn more at www.spglobal.com/energy

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SOURCE S&P Global Energy

FAQ

What did S&P Global Energy announce about Platts benchmarks and LME on December 1, 2025?

S&P Global Energy announced the 10-year anniversary of Platts scrap and rebar benchmarks serving as settlement references for two LME futures contracts launched on November 23, 2015.

Which Platts price assessments are used to settle the LME steel contracts referenced by SPGI?

The contracts settle against the Platts HMS 1/2 80:20 CFR Turkey scrap assessment and the Platts Steel Rebar FOB Turkey assessment.

How has market activity for the LME steel futures tied to Platts benchmarks changed recently?

Platts and LME report that the steel futures saw record volumes in 2024 and increasing adoption by market participants.

Why could the Carbon Border Adjustment Mechanism affect demand for scrap-based steel according to SPGI?

The release notes the Carbon Border Adjustment Mechanism, starting in 2026, may improve economics for steel made from scrap by taxing imports based on carbon intensity.

When were the Platts rebar and scrap assessments first published?

The Platts Rebar FOB Turkey assessment was first launched on June 5, 2006, and the HMS 1/2 80:20 CFR Turkey scrap assessment has been published since 2011.

How do market participants use Platts price assessments according to SPGI?

Participants use Platts assessments for exchange settlement, spot and term pricing, risk management valuation, analysis, and government references.