SteelOrbis has learned from market sources that in a scrap purchase tender opened by a Turkish mill yesterday, December 5 (mentioned by SteelOrbis in yesterday's analysis), the producer has received bids for HMS I/II 80:20 at $385-390/mt CFR for ex-Europe cargos and at $400-410/mt CFR for ex-US cargos. These price levels are significantly higher than the mill's expectations.
Thus, the Turkish steel producer has concluded a transaction for an ex-Denmark position scrap cargo from an international trader at an average price level of $392/mt CFR for prompt shipment, which is composed of 14,000 mt of shredded scrap, 9,500 mt of HMS I/II 90:10, 2,500 mt of HMS I/II 70:30, 1,000 mt of bonus grade scrap and 1,000 mt of busheling scrap.
SteelOrbis has heard from market insiders that the international trader had booked the scrap cargo in question at a higher price and that it has accepted a certain loss with this sale.