The weekly Davis Index for HMS 1&2 (80:20) or A3 scrap from Russia’s Baltic Sea and the Black Sea regions rose by $11/mt and by $8/mt, respectively, amid bullish export sentiment. Both indexes settled at $258/mt fob on Monday.
The uptrend in Russia’s ferrous scrap export market continued on higher deal prices in Turkey, with an Arkhangelsk-based supplier selling HMS 1&2 (95:5) at $282.50/mt cfr Karadeniz in late July, compared with a previous contract closed by the same exporter at $273/mt cfr Iskenderun.
No sales were reported from St Petersburg at the end of July, but most suppliers, believing that Turkish mills still require some scrap cargoes for September, raised offers to $280-285/mt cfr for HMS 1&2 (80:20) early in August.
Exporters from Rostov-on-Don are also targeting $280/mt cfr Turkey for A3 scrap. The most recent transaction was fixed at $274/mt cfr Karadeniz on July 23, according to information shared by market participants with Davis Index.
Collection prices for ferrous scrap increased in Russia as positive sentiment prevailed in the export market. The weekly Davis Index for HMS 1&2 (80:20) or A3 scrap rose by RUB525/mt ($7/mt) in St Petersburg dock to RUB15,525/mt delivered on Monday and by RUB450/mt ($6/mt) to RUB14,200/mt delivered in Rostov-on-Don dock.
($1 = RUB73.68)