NEW YORK Nickel-bearing
stainless scrap tags have risen due to higher nickel prices and
slightly more buying interest from processors.
Currently, 304 clips and solids
are selling for $1,455 to $1,525 per gross ton, up from $1,435
to $1,500 per ton previously; and 316 clips and solids are
between $2,125 and $2,195 per ton, up from the prior range of
$2,105 to $2,175 per ton.
Although buying from stainless
mills is still said to be limited, some processors are taking
the long view and stocking up on inventory for January, when
demand is expected to improve.
"Markets are higher because the
London Metal Exchange is higher. Theres no demand (from
the mills) in December," according to one dealer source.
"Basically, its all for January delivery. People are
thinking that January will be better."
However, while there was some
limited buying, market activity is expected to remain
relatively muted for the balance of the year.
"I think were all looking
to run the clock out on 2012," one processor source told
Some dealers, especially smaller
ones, said that they were holding on to scrap in the hope of
better prices in January.
"I wouldnt even sell at
(the high end of AMMs range for 304 clips and
solids) unless I had to," a second dealer said.
The cash nickel contract closed
the LMEs official session at $16,335 per tonne Tuesday,
up 1.7 percent from $16,060 per tonne the previous day.