The Italian scrap market is still continuing to move on a stable trend. In recent days, only slight downward movements have been observed in quotations, not sufficient to give any indications of major upheavals in the near future.
In the domestic market, traders have reported decreases in their supply contracts with the steel mills, which fell a maximum of Euro 5/mt compared to the peaks recorded in April. Currently, a healthy equilibrium is reported in the Italian market, with good levels of domestic collection and also regular arrivals from abroad. The demand from the producers, driven by consumption and the high levels that product prices have reached, is continuing at sustained levels. The inventory levels of the steel mills are said to be fairly good.
As regards the continental markets, a fall of Euro 10/mt has been seen in the French, German, Swiss and Austrian markets. The price of scrap coming from Northern Europe has seen an even higher drop, due to the fall-off in the levels of purchases carried out by the Turks, who are now turning most of their attention to the Black Sea region.
For the weeks ahead, traders do not expect the equilibrium in the internal market to be upset. Slight variations may be possible in either direction but no substantial changes are foreseen.