Davis Index’s monthly Spanish consumer ferrous scrap indices increased by €82/mt ($99/mt) following the conclusion of recent deals in mid-January.
Spanish mills were obliged to pay significantly higher for their domestic scrap purchases over the past month as prices tracked developments in the UK and EU shortsea market.
Robust Turkish purchasing activity has driven the benchmark HMS 1&2 (80:20) ferrous scrap import index parabolically higher to a recent peak of $482.50/mt, cfr Turkey, during this period.
More muted hikes materialized in the Spanish import market as buyers pushed back based on meagre domestic finished steel prices and margins.
Moreover, one Spanish scrap buyer commented that they were obliged to pay higher rates for local material to prevent volumes from heading towards export markets.
The Davis Index indices for E1 (old thin), E3 (old thick), and E40 (shredded) increased €82/mt to stand at €245/mt, €350/mt and €355/mt, delivered to mill. (€1 = $ 1.21)