The ferrous scrap market softened in September with prices for most grades dropping between $10 and $20 per gross ton. The pricing decreases was largely tied to tepid demand from both domestic and foreign buyers. Domestic mills have exited the market due to low finished product sales. Sentiment regarding October prices is poor with market participants predicting further price drops of $20 to $40.
The nonferrous market has enjoyed a much better month. Copper scrap pricing is up around $0.20 per pound over last month across prime and secondary grades while aluminum scrap has increased around $0.03 for most grades. Increased demand and strong primary metal pricing have bolstered the nonferrous grades. Stainless steel scrap prices also displayed strength over the last month with experts pointing to the strong nickel prices as justification.
The recovered paper markets continue their swoon. Pricing for OCC (old corrugated containers) fell an additional $15 per ton in September. Sorted office paper (SOP) was even more unlucky, losing $20 per ton. Weak demand continues to plague the paper markets as domestic and foreign mills already sit on a substantial amount of recycled material.Disclaimer – Prices and market related information shown has been obtained by many sources across many commodity markets. InStream has not verified the information beyond our sources. Information is based on assumptions and projections based on current market drivers. This information is provided as a service and InStream is not recommending action based on the market information provided and is not responsible for the direction of markets and/or results based on the data provided.
With summer upon us ferrous scrap pricing is heating up!
Ferrous scrap prices for August have soared across most domestic regions averaging approximately $50-60 for prime grades. Mills bought substantial amounts of material early this month offering higher prices to ensure inflow. The increased demand was not predicted and came on the heels of a sluggish month in July.
Both aluminum and copper scrap are showing slight decreases so far this month, but the losses are negligible.
OCC pricing has undergone a swoon this summer. Recovered cardboard prices fell approximately $20-25 per ton from March until July. OCC prices last week displayed an additional $20 drop for August.
Market experts point to decreased Chinese demand as a major factor behind the weakness. Paper recyclers now sit on a substantial amount of material as domestic mills are also reluctant to buy.Disclaimer – Prices and market related information shown has been obtained by many sources across many commodity markets. InStream has not verified the information beyond our sources. Information is based on assumptions and projections based on current market drivers. This information is provided as a service and InStream is not recommending action based on the market information provided and is not responsible for the direction of markets and/or results based on the data provided.
Ferrous prices continue to inch upward as the new year unfolds due to strong demand from mills and a perceived scarcity of material. The normal scrap flow problems tied to weather have not emerged so far this winter due to an unseasonably temperate period in the U.S.
Many market players are anticipating ferrous scrap prices to fall back in February but that view can hardly be characterized as consensus.
Nonferrous prices have been far more volatile (as usual). Copper scrap pricing fell in January’s first week before gaining back all their lost ground and then some this week. Aluminum scrap prices have behaved similarly. Tags fell from the start of December to the year’s end, but small gains have become evident since the calendar flipped. Many experts are pointing to improved demand from China as the major impetus for renewed strength.
Stainless scrap values crept up slowly over the course of December, a trend that has continued so far in January.
OCC prices continue to hold steady. Pricing for cardboard has remained stagnant since the beginning of November.