US stainless steel processor buying prices inched upward due to strong demand despite a decline in LME nickel prices on Thursday.
The daily Davis Index for 304 solids rose by 0.2¢/lb to 84.2¢/lb delivered processor yard and climbed by the same amount for 316 solids to settle at $1.112/lb for single truckloads.
Scrap 304 turnings inched up by 0.3¢/lb to 79.6¢/lb delivered and rose by 0.2¢/lb for 316 turnings to $1.005/lb, delivered processor yard.
LME nickel prices decreased by $362/mt from Wednesday with the official three-month LME Nickel contract settling at $18,078/mt on Thursday. The official cash contract closed at $18,082/mt, today down by $365/mt from Jun 30.
Stainless steel processor buying prices have climbed over the past week as mill demand remained strong. Although LME Nickel prices continue to fall, processors will continue to push for more scrap to fill orders, well into July. This trend is likely to stay any reduction in stainless steel prices in the near term.