US stainless steel processor buying prices rose for all grades after LME Nickel prices resumed their upward movement on Monday.
The daily Davis Index for scrap 304 solids increased by 0.5¢/lb to 74.5¢/lb delivered processor yard and rose by the same amount for 316 solids to 94.5¢/lb for single truckloads.
The index for scrap 304 turnings also grew by 0.5¢/lb to 68¢/lb and inched up by 0.2¢/lb for 316 turnings to 84.5¢/lb delivered processor yard.
LME nickel prices rose by $352/mt from Friday with the official three-month LME Nickel contract settling at $18,290/mt on Monday. The official cash contract closed Monday at $18,240/mt, up by $334/mt from Friday.
The strength in LME Nickel, as well as robust demand from mills, have kept stainless steel processor buying prices elevated throughout January. However, processors expect prices to fall in February given the downward trend predicted for the domestic ferrous scrap market next month.