US stainless steel processor buying prices dropped for 304 solids and turnings but inched up for 316 solids and turnings on Thursday.
The daily Davis Index for scrap 304 solids fell to 51¢/lb from 51.3¢/lb delivered processor yard and increased for 316 solids to 70.5¢/lb from 70¢/lb for single truckloads.
The index for scrap 304 turnings declined to 46.1¢/lb delivered from 46.5¢/lb and rose for 316 turnings to 60.7¢/lb from 60.3¢/lb delivered.
LME nickel prices decreased by $38/mt from Wednesday with the official three-month LME Nickel contract settling at $13,771/mt on Thursday. The official cash contract closed Thursday at $13,716/mt, down by $46/mt from Wednesday.
Stainless steel prices have started picking up after remaining flat through last week as demand from domestic mills has started to strengthen. According to some market participants, higher demand from mills will strengthen stainless prices further. Some processors, however, believe that mills are trying to keep buying prices lower, which in turn, has decreased their margins.