Early surveys conducted by Davis Index indicate that weekly British dockside ferrous scrap buying prices will drop for a fourth consecutive week by as much as £25/mt next week, depending on grade and location.
In initial market surveys conducted on Feb 6, Davis Index has assessed that weekly HMS 1&2 (80:20) ferrous scrap prices across the country are likely to fall into a range of £125-135/mt delivered dockside from £149/mt in the prior week.
According to market participants, many UK bulk exporters have built up sizeable inventories in anticipation of rebounding prices on major seaborne trade routes, particularly to Turkey, and as such have been able to drive down collection benchmarks.
In fact, Turkish HMS 1&2 (80:20) ferrous scrap import prices have already rebounded from a recent low of $251/mt cfr Turkey (Russian-origin) on Feb 4 to $260/mt (US-origin) on the same basis on Feb 5.