US stainless steel processor buying prices moved higher on Thursday for all but one grade on the ferrous market’s continued run, limited supply, and a more substantial LME market.The three-month LME nickel market jumped by $363/mt from Thursday’s close.
The daily Davis Index for scrap 304 solids inched up by 0.4¢/lb to 63¢/lb delivered processor yard, while 316 solids increased by the same amount to 84.3¢/lb for single truckloads.
The index for scrap 304 turnings climbed by 1¢/lb to 58.3¢/lb delivered and was flat at 76.2¢/lb for 316 turnings delivered US processor.
LME nickel prices increased by $363/mt on Friday to $16,891/mt from Thursday’s close of $16,519/mt.
Processors, planning to stay ahead of inventory shortages due to tight supply in the colder weather and COVID-19 outbreaks, are inching up pricing to find the right rates to increase their volumes. The volumes, however, may not be there regardless of the price due to the drawn-out impact of the COVID-19 pandemic on global supply chains.