Having concluded a number of bookings in the previous weeks, the Turkish mills have ceded their place in the global market to mills from other countries. It is seen that the demand for import scrap in Turkey is this week characterized by weakness. The purchases previously concluded by the Turkish mills have given them a certain amount of relief as regards their inventories. Therefore, they may stay away from the market for a while, preferring to adopt a wait-and-see stance.
Having seen a rapid increase of more than five percent in the previous week, scrap prices in the Turkish market maintained a more stable trend during the past week. The price level of ex-deep sea HMS I/II 80:20 scrap, which was at $719/mt CIF at the beginning of last week, reached up to the level of $725/mt CIF on the last day of the week in question. Despite a booking for HMS I/II 80:20 scrap heard to have been concluded at the level of $735/mt CIF in the middle of the week, it remained an "offbeat" sale and failed to push up the overall prices to the level in question.
As regards ex-deep sea bookings concluded by the Egyptian mills last week, the price for HMS I/II 80:20 scrap reached $750/mt CIF, shredded scrap stood at $755/mt CIF, whereas P&S scrap was sold for $760/mt CIF.
Against the background of the sluggish demand this week, there is a limited number of offers in the market. The price of the cargoes booked to Egypt this week correspond to the level of $730/mt CIF for HMS I/II 80:20 scrap, to $735/mt CIF for shredded scrap and to $740/mt CIF for P&S scrap. In addition to this, the fact that the Italian mills are ready to pay around $750/mt CIF for shredded scrap may boost expectation that this week's offers for the Turkish market may stand at higher levels than those seen last week. Nevertheless, the weak demand registered by the Turkish mills may hinder this uptrend.
The latest bookings for ex-Black Sea A3 grade scrap hover at around the level of $715/mt CIF Marmara and $720/mt CIF Nemrut. There have also been some bookings concluded at $720/mt CIF in Greece. This week, the counter bids made by the Turkish mills for A3 grade scrap stand at around $715/mt CIF and $720/mt CIF Nemrut.
Having lacked robustness last week, the longs market may be influential in the strategies of the Turkish mills, who want to see a sign from the longs market before making a move.