US East Coast and Houston dock collection prices for ferrous scrap dropped for the second consecutive week amid sluggish demand and rising material flows.
Dockside prices on the East Coast have fallen by approximately $15/gt or more since Sep 22, following a month-long downward export sentiment. However, negotiations for October bookings to Asian destinations resumed cautiously on Tuesday.
Turkish bids for US exports of HMS 1&2 (80:20) were around $283-286/mt cfr compared to $290/mt cfr on Sep 29. Offers from the US on Tuesday remained unchanged from last week at $290/mt cfr.
Market participants feel prices have bottomed for October although demand on the East Coast has been relatively weak. Domestic scrap trading for October commenced on Tuesday afternoon when two mills entered the market offering unchanged prices across all grades.
In Boston, the weekly Davis Index for export yard HMS 1&2 (80:20) moved down by $9/gt to $227/gt delivered dock. P&S 5ft dropped by $7/gt to $239/gt delivered, while shredder feed slipped by $2/gt to $165/gt delivered.
The weekly Davis Index for export yard buying prices in New York declined by $9/gt to $226/gt delivered for HMS 1&2 (80:20). P&S 5ft moved down $10/gt to $235/gt delivered dock, while shredder feed slid by $7/gt to $171/gt delivered.
In Philadelphia, the index for export yard collection prices of HMS 1&2 (80:20) ticked down by $8/gt to $229/gt delivered, while P&S 5ft dropped by $7/gt to $240/gt delivered Philadelphia dock. The index for shredder feed also fell by $7/gt to $172/gt delivered.
The weekly Davis Indexes in Houston decreased by $10/gt for HMS 1&2 (80:20) to $245/gt and by $12/gt to $258/gt for P&S 5ft. The shredder feed index dropped by $9/gt to $180/gt delivered.