Tag: Ferrous Scrap

The role of dealer resistance has had many ups and down over the last decades. At times dealer resistance to ferrous scrap pricing was justified and had positive effects on prices.

The US domestic ferrous scrap market had a rough 2024, despite optimism as the year started.

Scrap prices were stable-to-down in most regions as demand weakness offset seasonal supply tightness

Last week, the export community in the Atlantic Basin was licking its wounds over a Northern European sale at a two-year low of $325 per gross ton (gt) for HMS 80/20 to Turkey.

Ferrous scrap prices have finished 2024 down, but there is hope for a bump in January, scrap sources said.

The scrap market in the US finally settled on Monday with one of the nation’s largest steelmakers issuing its price bids.

The US scrap market has begun forming for December shipment and prices seem to be sagging so far.

The ferrous scrap market hasn’t settled yet for December, but sources say mills are looking to push scrap prices down.

The ferrous scrap markets both here and abroad are displaying a definite lack of enthusiasm as we head into the holiday season.

Ferrous scrap prices were largely rangebound to down at the November settle, market sources told SMU.

The US and Canadian ferrous scrap markets for November have not settled following the US presidential election. There doesn’t seem to be a key indicator as to why November prices haven’t settled yet. For the ferrous scrap market, I can’t see a big change occurring. Nothing short-term, anyways. The mills don’t seem to have a view, either, or at least they aren’t showing a lean in any direction.

As we await the formation of November’s domestic ferrous scrap market, all the recent action is in the export market. However, it is debatable whether events in this arena are influencing our US market other than psychologically. This opinion has been expressed by several sources that I have approached.

Gerdau Long Steel North America completed its previously announced acquisition of Dales Recycling Partnership, a Tennessee-based operator and processor of ferrous and nonferrous scrap, on Nov. 1.

The ferrous scrap market for November is starting to look more like the several preceding months.

We all know the American news cycle moves pretty fast. Viral today, cached tomorrow. So it is with the US presidential election on Tuesday, Nov. 5. People have election fatigue. They've moved on to other things like planning holiday parties, debating Super Bowl hopefuls, or even starting to look forward to our Tampa Steel Conference in February.

The recycled iron and steel markets seem to be “ho hum” at this stage of October. The word on the street is strong sideways, which is really not a bullish sentiment compared to the optimism of two weeks ago.

Global scrap prices increased in Asia and the US in October, although we believe downside risks remain for prices in the short term, particularly outside the US market.

Scrap prices ticked up in October outside of Chicago and Detroit, scrap sources told SMU.

Last week, US mills entered the scrap market, albeit later in the month than usual. Now we know why. They were trying to buy sideways (whatever that means anymore).

George Adams said he feels fortunate to be able to work with his kids at SA Recycling, the company his family founded. But that’s not the case with many family-owned businesses.

The US scrap market has been in a steady decline for the first nine months of this year. As we enter Q4, there seems to be scant hope things will change in October. However, some players are seeing a bit of light after this month, depending on steelmaker appetite for scrap.

Steel Dynamics Inc. (SDI) expects lower third-quarter earnings on the heels of “meaningfully lower” prices at its flat-rolled steel operations. The Fort Wayne, Ind.-based steelmaker expects Q3’24 earnings of $1.94 to $1.98 per diluted share, according to figures released on Monday. That’s down from $2.72 per share in Q2’24 and down from $3.47 per share in Q3’23.

September scrap prices came in a soft sideways, with only mild hopes for a higher October, market sources said.  

Industrial recycler PADNOS announced its acquisition of three scrap operations in the Midwest.

Great Lakes-area mills have entered the September ferrous scrap market in a surprisingly prompt manner.

The price spread between hot-rolled (HR) coil and prime scrap widened slightly in August but remains in territory not seen since late 2022, according to SMU’s most recent pricing data.

US scrap prices picked up in August, though near-term demand is expected to remain weak, scrap sources told SMU.

The US ferrous scrap market has essentially traded sideways for August. It may be too early to judge how much traction these prices will have with the trade.

RMU contacted ferrous market players in both the Southeastern region and the Midwest regions about the direction of the ferrous scrap market for August. One executive in the Great Lakes district confirmed the flow of shredder feed and obsolescent scrap did not change in July. All his orders for shredded scrap have been delivering to the mills without issue. He thinks shredded scrap can trade sideways from July in the Midwest.

Charter Manufacturing, a diversified metals manufacturer, has agreed to buy regional scrap metal recycler Niles Iron & Metal Co.