By Yuko Inoue TOKYO, June 8 (Reuters) - Rio Tinto Ltd and BHP Billiton Ltd have told Japan's steelmakers that they want to raise iron ore prices by 22-23 percent in July-September from the previous quarter, a source said. Shares of Japanese steel mills, already hurt by fears about the health of the global economy and weaker steel prices in Asia, fell to lows for the year.
"There's nothing but bad news," said Credit Suisse analyst Shinya Yamada.
"Investors are fretting about a possible squeeze in margins at steelmills as product prices could sag while raw materials prices stay at a high level."
The price hike to about $147 a tonne, in line with recent spot prices, is more than double the price for the financial year ended in March and would mark a second consecutive quarter of rises.
GIR Price at posting:
$1.87 Sentiment: LT Buy Disclosure: Held
