US stainless steel processor buying prices followed the upturn in LME nickel on Tuesday and increased by 1-3¢/lb across all grades on Tuesday.
The daily Davis Index for scrap 304 solids ticked up by 1.6¢/lb to 47.1¢/lb delivered processor yard and rose for 316 solids by 3.3¢/lb to 65.8¢/lb for single truckloads.
The index for scrap 304 turnings increased by 2.4¢/lb to 43.2¢/lb and jumped up for 316 turnings to 55.9¢/lb from 55.5¢/lb.
LME nickel prices increased by $399/mt from Monday with the official three-month LME nickel contract settling at $12,974/mt on Tuesday. The official cash contract closed Tuesday at $12,930/mt, up by $427/mt from Monday.
Stainless steel prices have fluctuated this week mirroring the volatile LME nickel prices. Domestic and export demand for the material has been slow this month—despite most industries resuming operations in late May—making market participants less optimistic about any improvement in the coming weeks.