US East Coast dock collection prices for ferrous scrap were flat for some grades and dock locations and increased by about $2-6/gt for others. Turkish activity slowed this week, following two weeks of price increases from strong Turkish demand in February for US-origin cargos. 

 

In Boston, the weekly Davis Index for export yard HMS 1&2 (80:20) was flat at $225/gt delivered dock, on Tuesday. The index for P&S 5ft held at $235/gt delivered Boston dock as did the index for shredder feed that remained at $160/gt delivered. 

 

The weekly Davis Index for export yard buying prices in New York for HMS 1&2 (80:20) remained unchanged at $224/gt delivered on Tuesday and P&S 5ft was flat at $234/gt delivered New York dock. The index for shredder feed increased by $6/gt to $166/gt delivered. 

 

In Philadelphia, the index for export yard collection prices of HMS 1&2 (80:20) rose by $2/gt from to $223/gt delivered and P&S 5ft increased by $2/gt from $231/gt to $233/gt delivered Philadelphia dock. The index for shredder feed held at $168/gt delivered.  

 

Shredder feed has been in short supply at some dock locations, especially Philadelphia and New York, boosting prices for that grade a bit more than other grades. HMS 1&2 (80:20) ranged in price from $215/gt to $235/gt and increased by $5-10/gt in some cases, compared to Feb 25, based on prior sales and dock locations. However, the same grade is being offered as low as $190-200/gt with no confirmed sales at lowered levels. 

 

The inconsistencies in prices for HMS 1&2 (80:20) arose when East Coast export yards offered decreased prices for material amid reduced activity from Turkey. Market participants informed Davis Index that docks are aggressively looking for material but at lower prices to match export pricing. Some docks need scrap and are currently loading vessels, but efforts to obtain material at the lower end of the range have not been confirmed.

 

Domestic scrap demand is generally solid this week and several mills have indicated they have stronger buying programs compared to February. The ferrous scrap trade was expected to begin Tuesday, but markets are quiet and Wednesday is now the projected start day for trading activity. Prices are expected to increase by $10-20/gt once the trade commences, although further declines in export demand may lower prior estimates.

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