The Canadian November ferrous scrap trading settled on Monday at unchanged prices for most grades, compared to October settlements, as mill demand and material flow remained balanced.
However, prime grades, which were in limited supply and some cut grades in Toronto concluded with increases of about C$10/nt ($7.68/nt). The price rise in cut grade, P&S 5ft, and primes, was also attributed to a strengthening Canadian dollar compared with last month.
In Toronto, P&S 5ft transacted at unchanged prices early on, before increasing by as much as C$20/nt or more, as the market was influenced by higher prices paid for that material in both Chicago and the US southern markets. Depending on mill, price increases for the grade narrowed the approximate C$25/nt price gap between P&S 5ft and Shredded by about C$10/nt.
The monthly Davis Index for prime grades in Toronto increased by C$10/nt with #1 bundles rising to C$327/nt delivered and settling at C$331/nt delivered for #1 busheling. HMS 1&2 (80:20), Machine shop turnings, and Shredded were flat at C$251/nt, C$210/nt, and C$324/nt delivered, respectively.
The monthly Davis Index for P&S 5ft in Toronto increased by C$10/nt to C$309/nt delivered consumer, as some mills paid C$15-20/nt over October pricing, while other mills continued with October level pricing for the grade.
Prices in Montreal remained mostly unchanged for all grades with #1 busheling continuing at C$265/nt delivered mill, and HMS 1&2 (80:20) ticking up by C$3/nt to C$240/nt delivered. Machine shop turnings, P&S 5ft and Shredder feed all held at C$190/nt, C$265/nt, and C$170/nt delivered consumer, respectively.
Prices are expected to remain firm for the remainder of the year along with US strengthening prices. However, uncertainty persists considering changes that may ensue following the US presidential election results and the COVID-19 pandemic, that is still hanging around.
(C$1 = $0.77)