Cleveland-Cliffs shares rise on higher annual fixed prices for steel

Cleveland-Cliffs
CLF,
+6.77%
shares moved up by 2.3% in premarket trades after the steel maker said it will achieve higher annual fixed prices for steel in the calendar year 2023. Cleveland-Cliffs also expects “significantly lower” steelmaking unit costs in 2023 compared to 2022. Cleveland-Cliffs projected an average selling price of approximately $1,400 per net ton in 2023, up from $1,300 per net ton in 2022. Fixed-price contracts are expected to make up 40% to 45% of the company’s steel volumes sold in 2023. The company has also recently announced price increases on spot steel sales. The stock rose 5% on Wednesday and is down 30.5% in 2022, compared to an 18.6% drop by the S&P 500
SPX,
-2.54%.