US stainless steel processor buying prices were mostly rangebound with only 304 solids showing an increase of more than a penny following a decline in LME nickel prices.
The daily Davis Index for scrap 304 solids grew by 1.7¢/lb to 74.5¢/lb and was up for 316 solids by 0.1¢/lb to 94.3¢/lb delivered processor yard for single truckloads.
Scrap 304 turnings was flat at 70.4¢/lb and increased by 0.1¢/lb for 316 turnings to 84.4¢/lb delivered processor yard.
LME nickel prices were down by $68/mt from Wednesday, with the official three-month LME Nickel contract settling at $16,054/mt on Thursday. The official cash contract closed at $16,009/mt on Thursday, down by $76/mt from the previous day.
There seems to be mixed sentiment regarding the demand and supply for stainless steel scrap. On the one hand, many regions have witnessed a slight decline in demand from mills, and yet purchases to fulfill tonnages remain unchanged. Sentiments in these markets are hopeful of a continuous supply flow. Conversely, some regions are witnessing robust mill demand and adequate supplies, and attribute the recent price drop to unchanged chrome pricing and declining LME nickel prices.