A month ago one of our dealer sources echoed the views of many in the ferrous scrap business, he expected nothing worse than a sideways (no change) market for July scrap prices. He pointed to stronger demand at the steel mills and continued weak collection of obsolete scrap grades. We will hear more from him […] The post Scrap Prices Weaken Much More than Market Expected appeared first on Steel Market Update.
A little more than a week ago, Steel Market Update spoke at a Bank of America Merrill Lynch dinner in Chicago. In the audience were a couple of scrap companies who told us the mills in the Chicago area (ArcelorMittal in particular) have come back into the market to buy scrap after a lengthy absence […] The post Scrap Outlook for July: Sideways to Maybe Up $10 appeared first on Steel Market Update.
Ferrous scrap prices rose in June as obsolete flows continue to be weaker than normal and the domestic mills have come back into the market. The strength of the market has come as a surprise to dealers and mills alike. Number 1 Heavy Melt (HMS) ranged from $230 to $265 per gross ton with the […] The post Obsolete Scrap Flows Down 30%, June Prices Rise $20-$30 appeared first on Steel Market Update.
Based on channel checks with our scrap sources, we are hearing that many of the steel mills have been actively buying as much scrap as possible during the month of May. The extra tonnage being added to the early May tons are being purchased at higher prices. Prices are up as much as $10 to […] The post Ferrous Scrap Prices Set to Rise $10-$30 in June appeared first on Steel Market Update.
Perhaps the scrap market can best be described by those actively sourcing/selling ferrous scrap. Here is how one of the larger groups saw the market this week, “The scrap trade was quite tumultuous this week. Scrap demand, both export and domestic was robust, forcing the scrap processors to take a hard look at what sales […] The post Scrap Prices Rangebound or Surprise to Come? appeared first on Steel Market Update.
An explanation of the Key Indicators concept is given at the end of this piece for those readers who are unfamiliar with it. The total number of indicators considered in this analysis is currently 36. Please refer to Table 1 for the view of the present situation and the quantitative measure of trends. Readers should […] The post Key Market Indicators- April 30, 2015 appeared first on Steel Market Update.
Scrap dealers are expecting sideways pricing as we enter the month of May and negotiations with the various steel mills. Our sources are advising SMU that the weakest area continues to be the Midwest (Indiana and Ohio Valley) while the East and South have seen demand strengthening. Even though the Midwest is the weakest area […] The post Scrap Prices Expected to Move Sideways for May appeared first on Steel Market Update.
In the twelve months of 2014, scrap exports totaled 15,308,000 tonnes, down by 17.1 percent from the same period in 2013. In the first two months of this year exports were 2,026,675 for an annual rate of 12,161,050 tonnes. Figure 1 shows that the monthly average declined for three consecutive years, 2012 through 2014 and […] The post US Scrap Exports through February 2015 appeared first on Steel Market Update.
Our scrap sources are advising Steel Market Update that the scrap markets in the Midwest have been slow to settle with only a few deals done as of Tuesday morning. The expectation by those involved in the Midwest ferrous scrap markets is that the transactions will be completed over the next day or two. Most […] The post Midwest Ferrous Scrap Pricing Slow to Develop, Expect Sideways Price Movements appeared first on Steel Market Update.
Schnitzer Steel Industries plans a “cost reduction, capacity reduction and productivity initiative” to improve its financial performance by $60 million annually by the end of 2016. In addition, the Auto Parts and Metals Recycling Business will be consolidated into a single division by the end of FY 2015. “In the face of steep declines in […] The post Schnitzer Steel Industries to Restructure Divisons appeared first on Steel Market Update.