US stainless steel processor buying prices remained unchanged across most grades on Thursday despite increasing LME nickel prices.
The daily Davis Index for scrap 304 solids and 316 scrap solids remained at 68¢/lb and 80¢/lb delivered processor yard for single truckloads, respectively.
The index for scrap 304 turnings jumped by 0.5¢/lb to 62.5¢/lb delivered and was flat for 316 turnings at 80¢/lb delivered processor yard.
LME nickel prices increased by $193/mt from Wednesday with the official three-month LME Nickel contract settling at $17,622/mt on Thursday. The official cash contract closed Thursday at $17,520/mt, up by $165/mt from Wednesday.
The supply tightness has added to the upward pricing pressure being experienced in the stainless-steel processor buying market as demand from mills grows and scrap yards hold back on material. Market participants expect demand to climb further going into next month, but it is the supply of the material that will determine which way the market moves in January 2021.