US stainless steel processor buying prices decreased slightly across all grades on Monday despite LME nickel prices rising
The daily Davis Index for scrap 304 solids dropped to 49.8¢/lb from 50.2¢/lb delivered processor yard, while it declined for 316 solids to 69.3¢/lb from 69.5¢/lb for single truckloads.
The index for scrap 304 turnings fell to 45.8¢/lb from 46¢/lb, and dropped for 316 turnings to 61.4¢/lb from 61.5¢/lb delivered.
LME nickel prices were up by $416/mt from Friday, with the official three-month LME nickel contract settling at $13,524/mt on Monday. The official cash contract closed Monday at $13,482/mt, increasing by $416/mt from Friday.
Processors have been seeing the stainless steel market mostly moving sideways with very little change to buying prices, given sustained demand from stainless steel mills. However, some processors do expect prices to decrease and the market to slow down because of both the pandemic and the upcoming US election.