Benchmark HMS I/II 80:20 scrap prices in Turkey have increased further in a new ex-St. Petersburg deal.
An Iskenderun-based producer concluded the transaction yesterday, December 1, for 24,000 mt of HMS I/II 80:20 scrap at $358/mt CFR, 6,000 mt of bonus grade scrap at $368/mt CFR and 1,500 mt of railway scrap at $373/mt CFR, for February shipment. Prior to this deal, an ex-Latvia booking was closed at $350.5/mt CFR for the benchmark HMS I/II 80:20 grade.
As seen above, some Turkish mills are booking scrap for shipments as distant as February, while Turkish mills still need a lot of cargoes for January shipment. The month of December is shorter in terms of work days due to the holidays, and January will start with holidays in the Orthodox world. Some market sources believe that Turkey will use this shorter period ahead to buy its requirements at least for January shipment and so they anticipate lively days ahead in the scrap market. Prices are expected to continue their uptrend but market players are cautious about voicing predictions. Some in the market say prime grade scrap prices may move up to $370-375/mt CFR Turkey, with some believing that these levels may be the peak prices will reach.