It is observed that ex-US scrap prices have softened in a booking to Turkey made on Monday, June 15, for August shipment.
SteelOrbis learned that an Izmir-based mill Turkish concluded an ex-US transaction on Monday, with the benchmark HMS I/II 80:20 scrap price at $265/mt CFR, and with a shipment date of August 10. The full details of the deal are yet to be disclosed. The previous ex-US deal was closed at $267/mt CFR for HMS I/II 80:20 scrap, though that cargo will be shipped in July.
Domestic scrap quotations in the US for the July buy-cycle are largely expected to move down by $10-20/mt for HMS I/II and shredded, and by $20-30/mt for busheling. Market sources state that the manufacturing sector is improving in the US, but “demand for steel is not that great.” Also, availability of scrap is increasing in the country, some market players said. Meanwhile, in Turkey local steel producers have become silent over the past couple of days in terms of scrap purchases, taking a step back to evaluate the market after concluding high numbers of deep sea bookings for July shipments. The general opinion in the market is that Turkish mills have almost completed their purchases for July shipments, though there is still some room for further purchases. Some market players state that they will not be surprised if the current silence continues for the next ten days.
