Local Italian scrap market at a standstill ahead of holidays

After a particularly lively November and early December, the local Italian scrap market appears to be ready for Christmas holidays. In the past week, in fact, there has been no movement in either prices or contracts. 

This week has been relatively quiet for the local Italian scrap market, with prices stable compared to two weeks ago. According to one market participant, "The market is at a standstill. The die is cast," and over the past week local traders have been focusing on deliveries of material ordered under previously closed deals. However, some tension remains due to the imbalance between supply and demand, "Mills are still interested in buying. Stops are very brief, many will continue until 18-20 [December], some even until Christmas," a source said. 

Expectations for January are of a strong market: "If [mills] expected a significant change in terms of demand or prices for January when the market reopens, there would not be all these deliveries before the market closes." Moreover, market participants do not expect scrap supply to improve substantially in the short term, and this prolonged tension could lead to further increases. 

Prices include delivery and exclude VAT.