US stainless steel processor buying prices rose for most grades on Thursday in tandem with increasing LME nickel prices.
The daily Davis Index for scrap 304 solids increased by 2¢/lb to 74¢/lb delivered processor yard while 316 solids remained at 94¢/lb for single truckloads.
The index for scrap 304 turnings jumped by 1.5¢/lb to 67.5¢/lb and inched up for 316 turnings by 0.8¢/lb to 84.3¢/lb delivered processor yard.
LME Nickel prices rose by $314/mt from Wednesday with the official three-month LME Nickel contract settling at $18,422/mt on Thursday. The official cash contract closed Thursday at $18,370/mt, up by $315/mt from Wednesday.
Processors are still trying to gauge how the market will look moving into February, especially since the outlook on the domestic ferrous market next month predicts prices might move lower than January settled prices. For now, though, the continued demand from mills and rising LME Nickel prices continue to keep the stainless steel processor buying prices elevated.