US stainless steel processor buying prices rose across all grades in tandem with increasing LME nickel prices and strong demand on Thursday.
The daily Davis Index for 304 solids increased by 0.9¢/lb to 81.1¢/lb delivered processor yard and was up for 316 solids by 0.7¢/lb to $1.077/lb for single truckloads.
Scrap 304 turnings rose by 0.3¢/lb to 76.4¢/lb delivered and 316 turnings by 0.7¢/lb to 97.7¢/lb, delivered processor yard.
LME nickel prices increased by $299/mt from Wednesday with the official three-month LME Nickel contract settling at $18,168/mt on Thursday. The official cash contract closed Thursday at $18,192/mt, up by $325/mt from Wednesday.
Rising LME Nickel prices have put upward pressure on stainless steel scrap prices, which have been buoyed by robust demand this week. The market turned north earlier this week after sluggish trade kept prices rangebound to down over the last couple of weeks. Processors expect mills to continue buying and anticipate the trend to continue in July as well.