US stainless steel processor buying prices increased on Wednesday on a stronger nickel market that jumped by over $350/mt this week, and better than anticipated demand from stainless mills.

 

The weekly Davis Index for 201 solids increased by 3.2¢/lb to 30.5¢/lb delivered processor yard and jumped by 2.5¢/lb for 301 solids to 40.8¢/lb delivered on Wednesday.

 

The index for 309 solids was better at 73.5¢/lb delivered, up by 2.3¢/lb, and rose by 7¢/lb to $1.16/lb for a truckload of 310 solids delivered US processor.

 

The index for 409/410 solids was stronger at $280/gt up from $256.7/gt while 430 was ticked down by less than $1/gt to $377.5/gt.

 

The three-month LME nickel contract increased by $199/mt from Tuesday’s close of $13,734/mt, settling at $13,933/mt on Wednesday.

 

The daily Davis Index for scrap 304 solids increased by 2.2¢/lb to 53.4¢/lb delivered processor yard and moved up for 316 solids by 0.5¢/lb to 71.3¢/lb for single truckloads delivered US processor.

 

The index for scrap 304 turnings was better by 0.6¢/lb at 46.8¢/lb delivered and increased by 0.4¢/lb for 316 turnings to 61.6¢/lb delivered.

 

Activity picked up for stainless processors on Wednesday on better-than-expected demand from stainless mills, flipping the supply narrative to a tighter outlook. The ferrous markets began to trade in parts of the country on August 4, with prime bids at $20 down from July and cut scrap coming in sideways. Those numbers should help set a floor for stainless grades with more ferrous content.

Leave a Reply

Your email address will not be published.