US stainless steel processor buying price fell by 0.2-1.7¢/lb on Thursday.
The daily Davis Index for scrap 304 solids declined by 1.2¢/lb to 53.3¢/lb delivered processor yard and moved down for 316 solids by 1.7¢/lb to 74.3¢/lb for single truckloads.
The index for scrap 304 turnings decreased by 0.7¢/lb to 50.3¢/lb and dropped for 316 turnings by 0.2¢/lb to 67.8¢/lb delivered processor yard.
LME Nickel rose by $120/mt from Wednesday with the official three-month LME Nickel contract settling at $14,728/mt on Thursday. The official cash contract closed Thursday at $14,687/mt, up by $117/mt from Wednesday.
Regional variance in supply and demand has caused some volatility in stainless steel processor buying prices this week. According to processors, tight supply is unable to fulfill mill demand in some regions, whereas in others, demand is dwindling even though there’s ample availability of the material. Some market participants also attribute the current volatility to last-minute buying by mills that temporarily increased the prices of the material.
With the US domestic ferrous scrap market expected to settle sideways this month, processors are uncertain about the direction of stainless prices moving forward.