US stainless steel processor buying prices declined on Tuesday in tandem with LME Nickel which stepped down by $58/mt from Monday’s close.
The daily Davis Index for scrap 304 solids fell by 1.4¢/lb to 52.5¢/lb delivered processor yard, while 316 solids inched down by 2.3¢/lb to 72.8¢/lb for single truckloads delivered US processor.
The index for scrap 304 turnings declined by 1.4¢/lb to 49¢/lb delivered and decreased by 2.2¢/lb for 316 turnings to 65.7¢/lb delivered.
LME nickel prices decreased by $58/mt from Monday’s close of $15,257/mt, landing at $15,199/mt at the market’s close on Tuesday.
Better than expected scrap flows and lower demand for stainless steel have put downward pressure on prices. Downward movements in stainless steel processor buying prices are usually the norm moving into the year-end. This year, the uncertainty around the results of the US presidential elections next month is also likely to drive down prices.