NEW YORK East
Coast export prices for bulk ferrous scrap shipments to Turkey
continued to rise over the past week, after one sale in the
middle of last week helped delivered prices record a
$26-per-tonne increase through October.
The cargo, the lone
East Coast sale, was booked Oct. 30 at $395 per tonne c.i.f.
Turkey for an 80/20 mix of No. 1 and No. 2 heavy melt and $400
per tonne for shredded, although a second exporter traded
another cargo out of Houston at around $400 per tonne for HMS
1&2 (80:20), sources said.
Cargoes sold out of
the Gulf Coast typically sell at a premium to East Coast sales
to cover the additional freight costs, which means the second
cargo price reflected levels that were nearly level with the
East Coast sale, one exporter said.
The sale represents a
$26-per-tonne increase in delivered prices from the first week
of October, when a smaller volume cargo sale was recorded at
$369 per tonne for a mix of HMS 1&2 (90:20) and shredded
As a result,
AMMs weekly East Coast Ferrous Scrap Export
Index settled Nov. 4 at $367.08 per tonne f.o.b. New York, up
0.9 percent from $363.64 per tonne a week ago.
But several market
participants said they were unsure if prices would rise further
despite rumors of offers in a $400- to $405-per-tonne range for
HMS 1&2 (80:20).
"It all depends on
what prices Turkish mills can get for reinforced bar," a second
U.S. exporter said.
"(The) scrap side is
strong, but we need demand for the market to go up further," a
third exporter said.
However, one Black Sea
exporter speculated that export prices to Turkey could retreat
"On (Nov. 1), the
Turks were out of market due to a stronger dollar. There were
also several offers on the market as well from the U.S. and
Europe. So most probably we will see lower prices this week,"
Meanwhile, the lack of
any bulk sale from the West Coast kept AMMs West
Coast Ferrous Scrap Export Index unchanged Nov. 4 at $355.50
per tonne f.o.b. Los Angeles.
Market participants in
the region said there had been interest from buyers in
Thailand, Taiwan and South Korea, but with no agreement on
Nevertheless, at least
one exporter was bullish. "The West Coast market will be over
$400 per tonne c.i.f. Korea, with Japan driving it. (One major
consumer) will be in the market and two others will test the
waters, but probably wont buy," he said.
A second regional
source said South Korean mills are aggressively chasing scrap,
but with no conclusions on bulk shipments they have resorted to
booking containerized scrap.