US stainless steel processor buying prices rose across most grades amid rising LME nickel prices on Wednesday.
The weekly Davis Index for 201 solids climb by 1¢/lb to 36¢/lb delivered processor yard on Wednesday and rose for 301 solids by 2.3¢/lb to 50¢/lb for single truckloads.
The index for scrap 309 solids increased by 1.7¢/lb to 84.3¢/lb delivered and jumped for 310 solids by 2.6¢/lb to $1.304/lb delivered. The weekly Davis Index for 330 solids moved up by 6.2¢/lb to $2.137/lb delivered processor yard.
However, the index for 409/410 solids dropped by 0.2¢/lb to $314/gt delivered processor yard and fell by $1.2/gt to $396.2/gt for 430 solids delivered.
Stainless steel prices have increased over the past couple of weeks on rising demand from stainless steel mills. An increase in the LME Nickel market has also added to the rally in stainless steel processor buying tags. Some participants have adopted a wait and see approach to gauge the impact of the $50-90/gt increases in ferrous scrap during December trade that settled on Wednesday.
The daily Davis Index for scrap 304 solids fell by 0.2¢/lb to 61.1¢/lb delivered processor yard and declined by the same amount for 316 solids to 81.3¢/lb for single truckloads.
The index for scrap 304 turnings remained at 56¢/lb delivered and rose for 316 turnings by 0.6¢/lb to 75.3¢/lb for single truckloads.
LME Nickel prices rose by $65/mt from Tuesday with the official three-month LME Nickel contract settling at $16,519/mt on Wednesday. The official cash contract closed Wednesday at $16,475/mt up by $85/mt from Tuesday.