After negotiations were completed for February scrap pricing, the word being spread around the industry was to expect another drop in March, perhaps down $20 on most grades. However, the weather got brutal during the month and we are hearing that many dealers will not be able to complete deliveries on obsolete grades of ferrous […]
The following article about the Asian ferrous scrap markets comes to us from one of our contributing writers, Damon Sun of Daido International. Firstly, I believe we are at the bottom or near bottom of the current scrap market. The latest bulk scrap sales into Far East Asia were at $249 per metric ton CFR […]
There appears to be a lot of uncertainty in the ferrous scrap and pig iron markets as we move into the second half of February and start taking a peak into what March scrap and pig iron pricing may look like. One of our pig iron sources advised SMU that many of the Brazilian pig […]
As we reported last week, prior to negotiations beginning for the month of February market players were predicting ferrous scrap prices would drop by $30-$50 and then $50-$70 per gross ton. Then we heard prices would drop by $100 per gross ton over the months of February and March combined. When the smoke cleared at […]
The domestic steel mills and their ferrous scrap suppliers traditionally negotiate pricing on scrap to be delivered during the first few days of the new month. This means the mills and their suppliers are deep into negotiations regarding February scrap purchases right now. Last week the word amongst the “scrappies,” as well as their mill […]
During Nucor’s earnings conference call the company’s CEO, John Ferriola told the analysts that scrap prices would drop “dramatically” during the 1st Quarter 2015. He told the analysts that steel prices have already gone down and scrap prices “have to” follow. Our scrap sources are telling us that lackluster demand at the steel mills, weak […]
The following article comes to us from one of our Asian scrap sources, Damon Sun of Daido International. The Asian scrap market is a bit quiet and continued slow downtrend as scrap metal pricing tries to find parity with iron ore. A rough calculation of scrap to iron ore is a ratio of 3.5 to […]
Ferrous scrap prices were forecast to be up $30 per gross ton as little as one week ago. According to one of our East Coast dealers there were some early sales at up $20 to $30 to those steel mills who needed to buy immediately. However, those deals were few and far between and the […]
Most ferrous scrap pricing deals will be negotiated between the domestic steel mills and their suppliers over the next few days. Steel Market Update sources are telling us scrap prices could move up by $10 to $30 per gross ton or more depending on product and the region of the country. Mike Marley of MetalPrices.com […]
Shredded scrap prices are up approximately $20 per ton compared to where they were the first week of December. According to Mike Marley of MetalPrices.com, shred is in tight supply in several Midwest cities due to the decline in the flows of shredded feedstock due to the lower selling prices in October and November and […]
With buying prices down by approximately $60 per ton over the past two months, we are seeing a lack of feedstock for shredded scrap across the country. The net result is shredded scrap prices are up $5 to $10 per gross ton compared to where they were in November in most regions east of the […]
Prior to the beginning of the month most scrap dealers were resigned to the fact that ferrous scrap prices would decline by $20 per gross ton and, in some remote areas, perhaps as much as $30. By the end of this past week the dust had settled and scrap prices had dropped by a minimum […]
As one of our scrap sources out on the East Coast put it on Friday, talk within scrap circles is very negative for November and the market is poised for another move lower. “Domestic demand for November scrap seems lackluster and export demand at this point – I think everyone knows the story there – […]
Ferrous scrap prices for October delivery into the domestic steel mills have so far this month declined by $10 to $20 per gross ton. Prices vary based on geographical region and product but our sources in Chicago advised us that their prices fell by $20 per gross ton on all products. We received the following […]
Ferrous scrap prices for shipment to the domestic steel mills around the country have been dropping since the negotiations began at the beginning of the month. For most geographical areas scrap prices have declined $15-$20 per gross ton compared to where they were at this point in time last month. Our Chicago area sources are […]
Ferrous scrap prices for October, which a couple of weeks ago were being forecast to move sideways (no change), are now looking as though they will drop $10 to $30 per gross ton. The Midwest and Southeast are expected to see the least price movement while those areas associated with exports (such as the East […]
Scrap dealers were a little surprised by the end of this past week as ferrous scrap prices remained stable instead of rising $10 per ton as many had anticipated. Steel Market Update wanted to understand what happened that resulted in a sideways market and here is what we learned from one of our East Coast […]
Steel Market Update (SMU) had been hearing that we should expect sideways scrap prices as we move into September. However, over the last couple of working days the signals are now pointing toward a strong sideways to slightly higher tilt to ferrous scrap pricing. We have heard numbers could go up as high as $10 […]
Ferrous scrap prices in the Midwest, Mid-Atlantic and East Coast have been moving sideways as the August negotiations come to a close. We are hearing from our scrap sources that the balance between supply and demand is quite good as flows have been solid and mill orders books are “decent.” Our scrap sources in Chicago […]
The domestic steel mills are not canceling any remaining open July scrap orders which is an indication that the mills are busy, need the scrap and do not anticipate being able to buy scrap for less money in August than they did in July. SMU scrap sources are telling us demand is good and supply […]
Steel Market Update asked one of our Steel Summit Conference speakers, Mike Marley of MetalPrices.com to comment on why scrap prices moved lower as the month of July progressed compared to the early indications of higher ferrous scrap prices during the first few days of the month. Here is his response: There were a couple […]
The Detroit scrap market settled on Monday with cut grades (such as heavy melt or HMS) rising by $10 per gross ton and shredded scrap by $15 per gross ton. Prime grades, such as #1 busheling traded sideways compared to last month. Our scrap sources are telling us that the best deals made (from a […]
Our ferrous scrap sources are advising Steel Market Update that June saw the bottom to scrap prices and July will see prices move sideways (no change) to as much as up $20 per gross ton. If scrap prices do indeed rise by as much as $20 per ton, this could be important for steel buyers […]
Our ferrous scrap sources are advising Steel Market Update that June saw the bottom to scrap prices and July will see prices move sideways (no change) to as much as up $20 per gross ton. If scrap prices do indeed rise by as much as $20 per ton, this could be important for steel buyers […]
We have been working on trying to get a handle on scrap prices and adjustments in the costs the domestic steel mills will have for scrap during the month of June. SMU sources advised us that with the exception of prime grades of scrap most mills cancelled their remaining orders at the end of the […]
Ferrous scrap negotiations have begun between the U.S. and Canadian steel mills with most mills expecting lower prices. One way we know if the mills believe prices will fall is they will cancel any remaining orders from May that have not yet been completed from their scrap suppliers in the hopes of being able to […]
Ferrous scrap price negotiations are beginning with at least one deal getting done in Detroit within the past few days at down $22 per gross ton. However, as one scrap dealer explained to us earlier today, scrap prices are all over the board. There are steel mills who are bringing furnaces back online and others […]
Iron ore spot prices in China have been falling and may continue to decline to the lows last seen in September 2012 when prices for 62% Fe fines reached into the $80’s (currently trading at $97.5/dmt). Steel Market Update has been reviewing the relationship between iron ore and ferrous scrap prices using shredded scrap as […]
The finished steel stockists have been buying finished products the last two weeks. However, the stockists are still keeping very little inventory on a wait and see mode due to the iron ore price collapse (currently abt $102/dmt). The current finished product orders should keep the production smooth for the next 3 weeks in China. […]
Shredded scrap prices were still volatile in some markets as it searched for a bottom in the Ohio Valley and elsewhere at the end of last week. Detroit was reported to be the first market to settle with the mills there paying $15 per gross ton less than the prior month paying approximately $380 per […]