Tag Archives: scrap
US scrap market players are expecting lower scrap prices next month, they tell Steel Business Briefing.
“It appears the market will be down by $20-25/long ton due to the lack of new export business,” said one source in the Mid-Atlantic states.
An index compiled by Management Science Associates (MSA) shows significant price increases in August for two of the three grades it tracks.
On average, MSA’s RMDAS (Raw Material Data Aggregation Service) shows prices changing from July(on a delivered-mill basis) by as little as a $3/long ton decrease, to as much as a $28/l.t increase.
Declining scrap prices are expected to drag down US longs prices with them, Steel Business Briefing understands.
A source at one domestic beams producer predicted yesterday that prices for delivery of that product next month would fall along with the decline in scrap by $20-40/short ton.
Source: Steel Business Briefing
August US scrap surcharge benchmark down $45/l.ton
A key scrap price that determines surcharges for August deliveries of many steel products in the US market fell by $45 – from $350 to $305 per long ton, Steel Business Briefing learns.
As SBB has previously reported, scrap market players had been expecting a drop in scrap prices due to especially weak export demand.
Source: Business Briefing
A higher than expected jump in US scrap prices has some in the scrap market feeling skittish about volatile prices, Steel Business Briefing notes.
“The numbers have gotten out of control,” said one Midwestern US scrap buyer, while predicting the market would go up again in January. “There will be no way that mills can pass along that kind of a steel increase to their customers…therefore it will create a margin squeeze on the mills, which isn’t good for anyone.”
Courtesy: Steel Business Briefing
Over the past week, the Chinese scrap market saw a slight rising trend, with a further ascension expected in the coming period against the tight availability of scrap supply. However, the relatively soft performance lately observed in the finished steel market is likely to exert a significant impact on the scrap market
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