US stainless steel processor buying prices continued to decline on Friday for 304 and 316 solids in tandem with falling LME Nickel prices.
The daily Davis Index for scrap 304 solids declined by 0.1¢/lb to 53.1¢/lb delivered processor yard and fell for 316 solids by the same amount to 73.2¢/lb for single truckloads.
The index for scrap 304 and 316 turnings held at 49.9¢/lb delivered and 66¢/lb delivered processor yard, respectively.
LME Nickel prices decreased by $174/mt from Thursday with the official three-month LME Nickel contract settling at $14,305/mt on Friday. The official cash contract closed Friday at $14,271/mt, down by $159/mt from Thursday.
Dropping mill demand and historically weak business sentiment towards the end of the year have impacted stainless steel buying prices over the last two weeks. Processors expect demand to drop further as the quarter progresses and anticipate new lows by the end of the year.