Search
Email a friend
  • To include more than one recipient, please separate each email address with a semi-colon ';', to a maximum of 5

  • By submitting this article to a friend we reserve the right to contact them regarding AMM subscriptions. Please ensure you have their consent before giving us their details.


PRICING NOTICE: Midwest ferrous scrap indices

Dec 14, 2017 | 08:00 AM |

Tags  ferrous scrap, Midwest, index, Midwest index, busheling, heavy melting scrap, shredded scrap


American Metal Market is proposing to move its monthly Midwest ferrous scrap indices to weekly, following the January settlement, and to expand the footprint covered under the Midwest designation. The first weekly publishing day would be Friday January 12, 2018.

The weekly index would be published at the end of the working day on Friday and reflect the latest spot transactions captured by American Metal Market.

It would add transparency to the market if spot trades are recorded and demonstrate stability in the absence of trade. The index is designed to incorporate intra-month transactions that might provide an insight into the direction of the market prior to the monthly settlement.

The vast majority of deals take place early in the month, and American Metal Market publishes the monthly settlement prices for individual grades and regions then. A small number of trades take place throughout the month, and American Metal Market aims to capture these transactions. When no deals are reported, the index will be published as unchanged. 

Proposed methodology (changes to existing methodology highlighted)

No. 1 Busheling
Price: US dollars per gross ton
Pricing Point: Delivered Midwest mill
Delivery Points: Any mill in Illinois, Indiana, Michigan, Wisconsin, Iowa and Ohio
Specifications: ISRI Grade 207
No. 1 busheling

Ferrous busheling. Compliant to ISRI Specifications 7 No. 1 busheling. Clean steel scrap, maximum size 2 feet by 5 feet, including new factory busheling (for example, sheet clippings, stampings, etc.). May not include old auto body and fender stock. Free of metal coated, limed, vitreous enameled, and electrical sheet containing over 0.5 percent silicon.
Material Origin: All origins
Trade Size: 500 gross tons
Delivery Window: Within 30 days
Payment Terms: Net 30 days post delivery
Publication Date: Weekly, Friday (or following working day)
Publication Time: Between 3:30 and 5pm New York time 

No. 1 Heavy Melting Scrap
Price: US dollars per gross ton
Pricing Point: Delivered Midwest mill
Delivery Points: Any mill in Illinois, Indiana, Michigan, Wisconsin, Iowa and Ohio
Specifications: ISRI Grade 200
No. 1 heavy melting steel.
Wrought iron and/or steel scrap 1/4 inch and over in thickness. Individual pieces not over 60 x 24 inches (charging box size) prepared in a manner to ensure compact charging.
ISRI Grade 202
No. 1 heavy melting steel 5 feet x 18 inches.
Wrought iron and/or steel scrap 1/4 inch and over in thickness. Individual pieces not over 60 x 18 inches (charging box size) prepared in a manner to ensure compact charging.
Material Origin: All origins
Trade Size: 500 gross tons
Delivery Window: Within 30 days
Payment Terms: Net 30 days post delivery
Publication Date:  Weekly, Friday (or following working day)
Publication Time:  Between 3:30 and 5pm New York time

Shredded scrap
Price: US dollars per gross ton
Pricing Point: Delivered Midwest mill
Delivery Points: Any mill in Illinois, Indiana, Michigan, Wisconsin, Iowa and Ohio
Specifications: ISRI Grade 211
Shredded scrap
Homogeneous iron and steel scrap magnetically separated, originating from automobiles, unprepared No. 1 and No. 2 steel, miscellaneous baling and sheet scrap. Average density 70 pounds per cubic foot.
Material Origin: All origins
Trade Size: 500 gross tons
Delivery Window: Within 30 days
Payment Terms: Net 30 days post delivery
Publication Date:  Weekly, Friday (or following working day)
Publication Time: Between 3:30 and 5pm New York time

Existing methodology (specifications to be changed highlighted)

No. 1 Busheling
Price: US dollars per gross ton
Pricing Point: Delivered Midwest mill
Delivery Points: Any mill in Illinois, Indiana, Michigan, Wisconsin, Iowa and NW Ohio
Specifications: ISRI Grade 207
No. 1 busheling.
Ferrous busheling. Compliant to ISRI Specifications 7 No. 1 busheling. Clean steel scrap, maximum size 2 feet by 5 feet, including new factory busheling (for example, sheet clippings, stampings, etc.). May not include old auto body and fender stock. Free of metal coated, limed, vitreous enameled, and electrical sheet containing over 0.5 percent silicon.
Material Origin: All origins
Trade Size: 500 gross tons
Delivery Window: Within 30 days
Payment Terms: Net 30 days post delivery
Publication Date: 10th of each month (or following working day)
Publication Time: 4pm New York time

No. 1 Heavy Melting Scrap
Price: US dollars per gross ton
Pricing Point: Delivered Midwest mill
Delivery Points: Any mill in Illinois, Indiana, Michigan, Wisconsin, Iowa and NW Ohio
Specifications: ISRI Grade 200
No. 1 heavy melting steel.
Wrought iron and/or steel scrap 1/4 inch and over in thickness. Individual pieces not over 60 x 24 inches (charging box size) prepared in a manner to ensure compact charging.

ISRI Grade 202
No. 1 heavy melting steel 5 feet x 18 inches.
Wrought iron and/or steel scrap 1/4 inch and over in thickness. Individual pieces not over 60 x 18 inches (charging box size) prepared in a manner to ensure compact charging.
Material Origin: All origins
Trade Size: 500 gross tons
Delivery Window: Within 30 days
Payment Terms: Net 30 days post delivery
Publication Date: 10th of each month (or following working day)
Publication Time: 4pm New York time

Shredded
Price: US dollars per gross ton
Pricing Point: Delivered Midwest mill
Delivery Points: Any mill in Illinois, Indiana, Michigan, Wisconsin, Iowa and NW Ohio
Specifications: ISRI Grade 211
Shredded scrap.
Homogeneous iron and steel scrap magnetically separated, originating from automobiles, unprepared No.1 and No. 2 steel, miscellaneous baling and sheet scrap. Average density 70 pounds per cubic foot.
Material Origin: All origins
Trade Size: 500 gross tons
Delivery Window: Within 30 days
Payment Terms: Net 30 days post delivery
Publication Date: 10th of each month (or following working day)
Publication Time: 4pm New York time

To provide feedback regarding these changes or if you would like to provide price information by becoming a data submitter, please contact Thorsten Schier at tschier@amm.com.





Latest Pricing Trends Year Over Year

Poll

How will metal prices perform in 2018?

The same, with minimal change in either direction
Better, building off 2017 momentum
Worse, suffering losses
Mixed, with steel improving and base metals declining
Mixed, with base metals improving and steel declining


View previous results