The Davis Index for containerized ferrous scrap increased on the East Coast but remained mixed across most grades on the West Coast.
In New York, the weekly Davis Indexes increased by $5/mt for #1busheling to $238/mt fas, and rose for HMS 1&2 (80:20) by $4/mt to $209/mt. The indices for machine turnings increased by $1/mt to $177/mt fas, rose for P&S 5ft by $9/mt to $229/mt fas, and moved up for shredded by $9/mt to $228/mt fas.
Containerized prices on the East Coast surged because of higher Turkish scrap imports at higher prices and slightly higher inquiries from Asian buyers.
The weekly Davis Indexes in Los Angeles mostly increased or remained flat except for #1busheling, which decreased by $13/mt to $210/mt fas. The decline is attributed to a downward correction as offers were too high last week on expectation that Asian buyers would covet the material amid tight global supply of the grade due to industrial shutdowns. Shredded and P&S 5ft now have attained higher transaction prices compared to #1busheling.
In Los Angeles, the Davis Index for HMS 1&2 (80:20) increased by $12/mt to $190/mt, was flat for P&S 5ft at $216/mt fas, and increased for shredded by $1/mt to $215/mt fas.
Last week, a large placement of P&S 5ft at the same price range as shredded pushed the index upward. Most sellers experienced a slightly higher price on shredded scrap compared to P&S 5ft over the course of the week.
West Coast prices are ticking up, especially for HMS 1&2 (80:20) in Los Angeles and San Francisco but are being constrained by highly competitive Japanese scrap prices. Trading remains affected by limited buyers as they seek to plan and transact into May without full clarity of COVID-19 measures in their own countries amid tight container availability. HMS 1&2 (80:20) is now reported at $205-210/mt cfr Taiwan with the potential of moving towards $215/mt cfr Taiwan next week.
In San Francisco, the Davis Indexes for HMS 1&2 (80:20) increased by $5/mt to $181/mt but were flat for P&S 5ft and shredded at $217/mt fas and $216/mt fas, respectively. The index for #1busheling decreased by $5/mt to $225/mt fas.
The Davis Index in Seattle decreased by $10/mt for #1busheling to $210/mt fas with the remainder of grades remaining unchanged. HMS 1&2 (80:20) was flat at $180/mt, P&S 5ft at $208/mt fas, and shredded at $208/mt fas.