US stainless steel processor buying prices increased across most grades in tandem with rising LME nickel prices on Tuesday.
The daily Davis Index for scrap 304 and 316 solids rose by 0.4¢/lb to 54.9¢/lb delivered processor yard and 74.9¢/lb for single truckloads, respectively.
The index for scrap 304 turnings rose by almost a penny to 51.9¢/lb delivered but inched down for 316 turnings by the same amount to 65.1¢/lb delivered.
LME Nickel prices rose by $52/mt from Monday with the official three-month LME Nickel contract settling at $14,512/mt on Tuesday. The official cash contract closed Tuesday at $14,470/mt, up by $54/mt from Monday.
Stainless steel prices have varied by region this week depending on the supply-demand dynamics of the local markets. Buying prices have been flat to up in regions where supply is tight but have fallen in those where mill demand has declined. That said, processors expect the market to slow down towards the end of the year.