Davis Index: Market Intelligence for the Global Metals and Recycled Materials Markets

The weekly Davis Index for HMS 1&2 (80:20) or A3 scrap decreased by $18/mt to $362/mt fob Baltic Sea and by $17/mt to $364/mt fob Black Sea on Monday amid muted trading.


The Russian export ferrous scrap market was subdued in the first week of February on scarce inquiries from Turkey. Bids for HMS 1&2 (80:20) from St Petersburg were heard at around $380/mt cfr last week, as a Marmara-based mill purchased the same grade from Poland at that price level. However, Russian suppliers refused to sell below $400/mt cfr in anticipation of prices rebounding to $415-420/mt cfr.


Turkish mills actively negotiated with exporters from Rostov-on-Don last week with bids starting at $380/mt cfr for A3 material on Thursday. However, they failed to find any cargo at that price level and raised bids to $395/mt cfr, which was heard to have been accepted by one seller who was under pressure to ship the vessel. Other suppliers though remain firm in their offers at $405/mt cfr and higher.


Collection prices for ferrous scrap in Russia decreased due to the strong negative sentiment in the export market. As a result, the weekly Davis Index for HMS 1&2 (80:20) or A3 scrap dropped by RUB1,525/mt ($20.50/mt) to RUB22,150/mt delivered St Petersburg dock and by RUB250/mt ($3/mt) to RUB21,050/mt delivered Rostov-on-Don dock on Monday.


($1 = RUB74.38)


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