US stainless steel processor buying prices trended flat on Friday following an increase in LME nickel prices.
The daily Davis Index for scrap 304 solids rose by 0.5¢/lb to 76.8¢/lb delivered processor yard and inched up for 316 solids by 0.3¢/lb to 99¢/lb for single truckloads.
Scrap 304 turnings inched up by 0.1¢/lb to 72.8¢/lb and rose for 316 turnings by 0.3¢/lb to 90¢/lb delivered processor yard.
LME nickel prices increased by $217/mt from Thursday with the official three-month LME Nickel contract settling at $17,433/mt on Friday. The official cash contract closed Friday at $17,404mt, up by $224/mt from Thursday.
A volatile LME Nickel market has made processors wary about buying more material. Weakness in demand, as some mills have stopped purchasing stainless scrap over the past week, is adding to the price uncertainty for stainless steel scrap processors.