US East Coast dock collection prices for ferrous scrap declined by $2-9/gt across all grades and most dock locations. Houston dock collection prices were flat amid persistently weak export demand.

 

Export destinations had sufficient scrap supply, which lowered demand. Collection prices have declined over the past three weeks because of slow export activity, which began June 16. East Coast docks have lowered collection prices by about $30/gt since then, with most deals priced around $190-200/gt for local HMS 1&2 (80:20) on Tuesday. However, some sellers remained at around $205/gt for the grade—the same price as last week.

 

A few East Coast dock locations have obtained several scrap tons that have overhung the Pittsburgh and Cleveland markets since June, which gave them the ability to aim for lower collection prices of about $10/gt increments.

 

In Boston, the weekly Davis Index for export yard HMS 1&2 (80:20) decreased by $3/gt from $202/gt to $199/gt delivered dock, and P&S 5ft dropped by $3/gt from $213/gt to $210/gt delivered Boston dock. The index for shredder feed decreased by $2/gt from $152/gt to $150/gt delivered. 

 

The weekly Davis Index for export yard buying prices in New York for HMS 1&2 (80:20) decreased by $5/gt from $199/gt to $194/gt delivered on Tuesday, and decreased by $5/gt from $211/gt to $206/gt delivered New York dock for P&S 5ft. The index for shredder feed declined by $6/gt from $158/gt to $152/gt delivered. 

 

In Philadelphia, the index for export yard collection prices of HMS 1&2 (80:20) decreased by $9/gt from $203/gt to $194/gt delivered. The Davis Index for P&S 5ft dropped by $7/gt from $211/gt to $204/gt delivered Philadelphia dock, and prices dropped by $5/gt from $158/gt to $153/gt delivered for shredder feed.  

 

Weekly Davis Indexes in Houston remained unchanged for HMS 1&2 (80:20) at $218/gt delivered. P&S stayed flat at $228/gt delivered, and the index for shredder feed remained at $163/gt delivered. Houston activity focused on domestic trading on Tuesday, however, this dock location has the potential to slightly lower prices later in the week.

 

The outlook for exports is currently flat, based on Turkey import prices. If domestic trading successfully concludes at the downward trends that began Tuesday, $40/gt for primes and $20/gt for other grades, dock prices may remain flat or decrease.

 

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