Davis Index: Market Intelligence for the Global Metals and Recycled Materials Markets

US East Coast dock collection prices for ferrous scrap continued on a downward trajectory amid strong scrap flows and weak exports. Houston docks have been rangebound for the past month amid mill demand with limited scrap flows in the region.


The Davis Index for US HMS 1&2 (80:20) exports to Turkey dropped by around $5/mt to $479.38/mt cfr compared to $484.89/mt cfr on Jul 20. The grade has shown more downward movement in the past month and fell by $20.14/mt on Tuesday compared to $499.52/mt cfr for the export material on Jun 29. 


Activity at the docks has been waning for over a month and market participants believe this will continue throughout Q3. Dockside sales for #1 HMS on the East Coast decreased by another $5-10/gt to $360-380/gt per dock location and prior sales level.


In Boston, prices have fallen modestly over the past few weeks amid a lower starting point. The weekly Davis Indexes for export yard #1 HMS and P&S 5ft both fell by $5/gt to $365/gt and $375/gt delivered Boston dock, respectively. The shredder feed index dropped by $4/gt to $250/gt delivered Boston export yard. 


The weekly Davis Index for export yard buying prices in New York decreased by $8/gt for #1 HMS to $371/gt delivered, P&S 5ft fell by $9/gt to $381/gt, and shredder feed moved down by $7/gt to $268/gt delivered New York dock. 


In Philadelphia, the Davis Index for export yard collection prices for #1 HMS moved down by $7/gt to $373/gt delivered and P&S 5 ft fell by $8/gt to $383/gt delivered Philadelphia dock. The index for shredder feed declined by $6/gt to $269/gt delivered. 


Houston’s weekly Davis Indexes were unchanged for #1 HMS and P&S 5ft at $424/gt delivered and $449/gt delivered Houston dock, respectively, while shredder feed dropped by $17/gt to $316/gt delivered Houston dock. Mills need scrap, holding prices steady however shredder feed, which is more abundantly supplied, moved down to match similar drops at other dock locations.

Leave a Reply

Your email address will not be published.