US East Coast and Houston dock collection prices for ferrous scrap are sustaining rising momentum over the past three weeks, as export activity continues, and domestic markets strengthen further.
Dockside prices have been mounting since late October when exports between Turkey and the US traded at around $292-294/mt cfr for #1 HMS. Since then, prices have risen by about $50/mt cfr towards the current #1 HMS price of $340-345/mt cfr.
Export yard buying prices for #1 HMS on the East Coast ranged between $255-260/gt on Tuesday, rising by $10/gt since last week and by $30/gt since Oct 27.
Some sellers are holding material and refraining from transacting at that level as they deem prices at $275-280/gt would be more parallel to current export price levels. However, dockside prices are not expected to reach that point until December.
In Boston, the weekly Davis Index for export yard #1 HMS climbed $10/gt to $255/gt and P&S 5ft moved up $9/gt to $264/gt, delivered Boston dock. Shredder feed, however ticked down by $2/gt to $179/gt delivered Boston export yard.
The weekly Davis Index for export yard buying prices in New York rose $11/gt to $258/gt delivered for #1 HMS and $10/gt to $266/gt delivered dock for P&S 5ft. The index for shredder feed rose by $3/gt to $193/gt delivered.
In Philadelphia, the Davis Index for export yard collection prices of #1 HMS increased $12/gt to $256/gt delivered and P&S 5ft went up by $11/gt to $265/gt delivered Philadelphia dock. The index for shredder feed climbed by $2/gt to $191/gt delivered.
In Houston, the weekly Davis Index climbed by $10/gt for #1 HMS and P&S 5ft to $280/gt delivered and $295/gt delivered Houston dock, respectively. The shredder feed index increased $8/gt to $213/gt delivered.