The weekly Davis Index for containerized HMS 1&2 (80:20) rose by $3/mt to $268/mt cfr South Korea. Mills preferred imported bulk or domestic over importing containers. Few mills booked domestic Heavy A scrap at KRW3,30,000-3,35,000/mt del plant to avoid bullish imported material.
Mills expect Japanese export prices to rise aided by strengthening Japan domestic scrap market where ferrous scrap prices increased by around JPY500-1,500/mt on Wednesday. The weekly index for P&S5ft and #1HMS rose by $4/mt to $280/mt cfr South Korea and $270/mt cfr, respectively.
South American suppliers offered HMS 1&2 (80:20) at $260/mt cfr, up by $5/mt from the prior week. In the bulk market, Japanese shindachi and shredded deals were heard at JPY30,000/mt and JPY29,500/mt fob, respectively.
South Korean mills also purchased Japanese HS and #2HMS at JPY31,000/mt and JPY30,000/mt fob Japan, respectively. US-origin HMS 1&2 (80:20) bulk cargoes were offered at $305/mt cfr South Korea.
The weekly index for US-origin shredded settled unchanged at $277/mt cfr with no trades heard.
The daily index for US-origin containerized HMS 1&2 (80:20) settled flat at $270/mt cfr Taiwan on Thursday. Trades for the grade were heard at $268-270/mt, despite offers of $271-275/mt cfr.
Offers for South American HMS 1&2 (80:20) were at $260-265/mt cfr. Manufacturers believe trades will rise in September after infrastructure projects gain momentum. Steel mills are yet to increase production due to sluggish finished steel demand.
A rise in global finished steel prices and demand in October seems to be on the cards as the global trade picks up.