US stainless steel processor buying prices increased for 304 and 316 solids and turnings on Monday amid short supply.
The daily Davis Index for scrap 304 solids increased to 44.3¢/lb delivered processor yard, up from 43.5¢/lb and rose for 316 solids to 63.5¢/lb from 62.8¢/lb for single truckloads.
The index for scrap 304 turnings jumped to 40.3¢/lb from 39¢/lb, while 316 turnings increased to 53.9¢/lb from 53¢/lb on Monday.
LME nickel prices increased by $162/mt from Friday with the official three-month LME nickel contract settling at $12,036/mt on Monday. The official cash contract closed Monday at $11,950/mt, up by $143/mt from Friday.
The uptick in ferrous markets has helped to set a floor for stainless pricing. Short supply of scrap and the chance of a sideways to up markets for ferrous scrap in June, should hold the value for stainless pricing in the near term.