The weekly Davis Index for HMS 1&2 (80:20) or A3 scrap increased by $2/mt to $260/mt fob Baltic Sea and by $3/mt to $266/mt fob Black Sea on Monday amid stronger demand for ferrous scrap export.
Turkish mills are on a buying spree for November shipment cargoes because of which, some mills are negotiating with Russian suppliers. An exporter from St Petersburg agreed to sell HMS 1&2 (80:20) at $289.50/mt cfr and bonus material at $299.50/mt cfr to an Izmir-based mill last week, while others are trying to achieve prices above $290/mt cfr for HMS 1&2 (80:20), considering the most recent transactions for Baltic material in Turkey, which were done at $291.50-292.50/mt cfr for the same grade.
No bookings were confirmed from Rostov-on-Don to Turkey last week as suppliers targeted $290/mt cfr for A3 scrap, but bids were reported at $285-288/mt cfr.
Collection prices rose in Russia amid higher export activity and a firm domestic market. As a result, in St Petersburg dock the weekly Davis Index for A3 scrap increased by RUB275/mt ($4/mt) to RUB17,625/mt delivered on Monday. Exporters are ready to pay a premium of RUB200-300/mt for a supply of 100mt and more due to the slow inflow of the material.
In Rostov-on-Don dock, the weekly Davis Index for A3 scrap surged by RUB1,200/mt ($16/mt) to RUB16,600/mt delivered.
($1 = RUB76.23)