Midwest leads plunge in ferrous scrap prices
Jul 06, 2012 | 05:21 PM
| Lisa Gordon
NEW YORK The U.S. ferrous scrap market received its first solid indication of price movements this month when steel mills in Detroit hit the market late Friday to send tags spiraling down $50 per gross ton across all grades.
Some consumers said unscheduled outages in June had led to drastically reduced buying programs for July, which enabled them to hit the market hard.
Buyers at a few mills said there had been some resistance from suppliers to the $50-per-ton cuts, but they were still successful in securing their required volumes.
"Some suppliers are holding back, but I think our tons will be bought. I will buy from outside and pull it in if I have to. The buy is limited," one source said.
A second source said some suppliers attempted to fight the drop by putting the focus on steady export markets and the announced sheet price increases. "But the simple truth is (that) there is more supply than demand," he said. "We knew wed get down $50." ....
To access AMM's full content, please log in below. If you do not have an AMM account, we invite you to take a free trial or subscribe below.
Already a registered amm.com user?
Access to amm.com editorial content is granted only to paid subscribers and trialists. If you do not have an active account in your own name, please either subscribe or take a trial and you will have instant access to amm.com content. Sharing your login credentials with individuals who are not subscribers represents a violation of AMM copyright.
Every morning, every minute no matter how often you follow the markets, there's an AMM subscription to fit your needs.
Not sure if you are ready to invest in a subscription right now? Take a free, no-obligation trial. Start your free trial today.