US containerized ferrous scrap indexes declined again on both coasts, as export markets continued their downward price trend globally. 

 

In New York, prices were wide as some sellers sought to retain negotiations at decreases of only $5/mt per grade compared to deal levels last week while others discounted containers more aggressively. Deals on higher prices in the range of $240-245/mt fas were heard late last week and earlier in the week. Shredded, though, was quoted as low as $225/mt fas from the region in the past few days. 

 

Asian markets reduced their containerized material purchases on lower seasonal capacity utilization, fewer shifts on higher energy costs, mills’ inabilities to realize higher finished steel prices, logistics, and liquidity. 

 

India, Bangladesh, Pakistan, and other Asian countries’ scrap consumption continues being affected by weak steel demand and internal containment policies due to COVID-19 that are affecting the financial liquidity of firms and their ability to ensure scrap containers are moved to mill destinations in a timely manner. 

 

The weekly Davis Index in New York for #1 busheling decreased by $4/mt to $248/mt fas and decreased for HMS 1&2 (80:20) by $10/mt to $220/mt fas. The index for machine shop turnings declined by $5/mt to $183/mt fas, while the Davis Index for P&S 5ft decreased by $13/mt to $238/mt fas. The index for shredded slipped by $10/mt to $235/mt fas.

 

On the West Coast, containerized prices on deals decreased through the week, although, some Taiwan buyers were heard purchasing at double their usual volumes. However, US-based sellers were unable to increase prices on the higher volume requests due to lower competing offers from Japanese exporters. Lower volume buys from Turkey are also resulting in additional scrap offers of containerized scrap to alternative destinations. 

 

In Los Angeles, the weekly Davis Indexes declined by $6/mt to $227/mt fas for #1 busheling and by $9/mt to $209/mt fas for HMS 1&2 (80:20). The index for P&S 5ft decreased by $9/mt to $222/mt fas, while shredded also decreased by $9/mt to $222/mt fas. 

 

The weekly Davis Indexes in San Francisco declined by $7/mt to $230/mt fas for #1 busheling and declined by $8/mt to $213/mt fas for HMS 1&2 (80:20). The index for P&S 5ft decreased by $10/mt to $223/mt fas, and the index for shredded decreased by $10/mt to $223/mt fas.

 

The Davis Indexes in Seattle decreased across all grades, with #1 busheling falling by $5/mt to $228/mt fas and HMS 1&2 (80:20) declining by $5/mt to $215/mt. The index for P&S 5ft declined by $13/mt to $219/mt fas, while shredded fell by $9/mt to $223/mt fas.

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