US stainless steel processor buying prices trended sideways to up for most grades on Wednesday after the LME Nickel market ticked up.
The weekly Davis Index for 201 solids climbed by 0.3¢/lb to 31.8¢/lb delivered processor yard on Wednesday and rose for 301 solids by 2¢/lb to 45¢/lb for single truckloads.
The index for scrap 309 solids jumped by 7.5¢/lb to 81¢/lb delivered and surged for 310 solids by 10.1¢/lb to $1.25/lb delivered. The weekly Davis Index for 330 solids increased by 2.4¢/lb to $2.055/lb delivered processor yard.
The index for 409/410 solids was flat at $284.5/gt delivered processor yard and increased by $18.3/gt to $373.8/gt for 430 solids delivered.
An unexpected strengthening of demand from mills along with the rising LME Nickel market has seen stainless steel prices ticking up over the past week. Participants believe that the ongoing supply tightness for the material is also putting upward pressure on prices. Processors are now in a wait and see mode as they try to gauge the market’s short-term direction.
The daily Davis Index for scrap 304 solids fell by 0.5¢/lb to 58.5¢/lb delivered processor yard and was down by 1.3¢/lb for 316 solids to 79¢/lb for single truckloads.
The index for scrap 304 turnings rose by a penny to 53¢/lb delivered and remained unchanged for 316 turnings at 69¢/lb for single truckloads.
LME Nickel prices rose by $27/mt from Tuesday with the official three-month LME Nickel contract settling at $15,777/mt on Wednesday. The official cash contract closed on Wednesday at $15,745/mt up by $42/mt from Tuesday.