US stainless steel processor buying prices rose for 304 grades but remained unchanged for 316 grades on Monday following a drop in LME nickel prices.
The daily Davis Index for 304 solids increased by 1.1¢/lb to 78¢/lb delivered processor yard and was flat for 316 solids at $1/lb for single truckloads.
Scrap 304 turnings rose by 1.7¢/lb to 74¢/lb delivered and 316 turnings remained unchanged at 91.7¢/lb delivered processor yard, respectively.
LME nickel prices declined by $288/mt from Friday with the official three-month LME Nickel contract settling at $17,664/mt on Monday. The official cash contract closed Monday at $17,625/mt, down by $297/mt from Friday.
Stainless steel scrap demand remains robust and processors’ order books remain strong. That said, supply is diminishing, though there is enough scrap to fulfill mill orders, and if that trend continues prices, especially for the 316 grades, are expected to rise further.