World scrap prices rose to $397/t

HMS 1/2 scrap prices on the Turkish market for the week of August 8-15 increased by $7/t compared to the previous week, to $395-397/t. Thus, scrap prices rose for the second week in a row after a three-week decline.

As evidenced Kallanish price indicator, scrap prices stopped at $395-397/t on August 12 and remained unchanged on August 16.

Turkey’s scrap market stabilized at the end of last week after concluded agreements.

Market participants report that on August 11, an agreement was concluded with an exporter from Benelux at a price of $393/t.

At the same time, forecasts for scrap prices differ among market participants. Some believe that scrap prices will go down, as there were no orders this week and steel mills are delaying scrap purchases to focus on steel sales.

Instead, others say scrap prices will rise due to supply and logistics issues. In addition, increased capacity utilization of European plants after the summer idle period may contribute to the increase in prices.

Some scrap exporters is noting that prices are unlikely to rise further as a decline is more likely due to weak sales of finished steel.

As GMK Center reported earlier, scrap prices on the Turkish market for the week of August 1-8 have grown by $40/t compared to the previous week – up to $385-390/t. It was the first rise after a three-week decline.

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