The weekly Davis Index for HMS 1&2 (80:20) or A3 scrap in Russia surged by $23/mt to $248/mt fob Baltic Sea and by $17/mt to $246/mt fob Black Sea on Monday amid higher buying activity.
Demand for Russian ferrous scrap improved, especially in Turkey, with a supplier from Rostov-on-Don selling an A3 cargo at $269/mt cfr Karadeniz last week.
Some exporters from St. Petersburg are negotiating with Turkish mills and are offering HMS 1&2 (80:20) at $280/mt cfr. However, bids from Turkey are reported at around $275/mt cfr, higher than the bids of $255/mt cfr in the first week of February.
The weekly Davis Index for A3 scrap in St .Petersburg dock increased by Rub575/mt ($9/mt) to Rub13,300/mt delivered on Monday, while the Davis Index in Rostov-on-Don dock decreased by Rub100/mt ($2/mt) to Rub13,300/mt delivered.
Collection prices are expected to increase in Russia this week as export market become bullish, though they’re moving in different directions at present.
US$1 = RUB 63.49 as on February 17, 2020