US stainless steel processor buying prices trended sideways on Wednesday amid slightly increasing LME nickel prices.
The weekly Davis Index for 201 solids inched down by 0.1¢/lb to 46.7¢/lb delivered processor yard on Wednesday and dropped for 301 solids by 0.2¢/lb to 60.3¢/lb for single truckloads.
The index for scrap 309 solids rose by 2.5¢/lb to $1.018/lb delivered and increased for 310 solids by 3.5¢/lb to $1.575/lb delivered. The weekly Davis Index for 330 solids moved up by 5.3¢/lb to $2.60/lb delivered processor yard.
The index for 409/410 solids dropped by $6.2/gt to $460.2/gt delivered processor yard but inclined by $1.2/gt to $537/gt for 430 solids delivered.
Stainless steel prices are rangebound despite wider swings in LME Nickel prices since domestic mill demand continues to remain strong. Processors expected a price drop along with the declining ferrous market prices this month but did not observe steep declines. Market participants are now waiting to see how the market turns going into March to get more clarity on the direction of stainless scrap prices.
The daily Davis Index for scrap 304 solids moved up by 1.4¢/lb to 76.6¢/lb delivered processor yard and remained unchanged for 316 solids at 96¢/lb for single truckloads.
The index for scrap 304 turnings declined by 1.8¢/lb to 67.7¢/lb delivered and inched down for 316 turnings by 0.6¢/lb to 87.1¢/lb for single truckloads.
LME Nickel prices increased by $91/mt from Tuesday with the official three-month LME Nickel contract settling at $18,745/mt on Wednesday. The official cash contract closed Wednesday at $18,704/mt up by $89/mt from Tuesday.