Scrap markets have made a quiet start to the current week. Turkish mills have not concluded any ex-deep sea scrap transaction so far this week, while a Turkish producer's domestic billet sales totaling 65,000 mt at the price level of $530/mt ex-works has increased the pressure on scrap prices.
Last week, a couple of ex-US HMS I/II 80:20 transactions to Turkey were concluded at $370/mt CFR. Moving to this week, although ex-US scrap suppliers are unwilling to reduce their price offer levels below $370/mt CFR, SteelOrbis has learned from market sources that Turkish mills insist that scrap prices should move below this price level given the current steel billet price level.
Latest ex-Black Sea A3 scrap offers to Turkey are standing at $360-370/mt CFR. In Romania scrap collection prices are at $320-325/mt, while ex-Romania offers to Turkey are now at $360-365/mt CFR. Scrap collection prices in Rostov have declined recently and ex-Russia A3 scrap offers to Turkey are currently standing at $365-370/mt CFR.
Next weekend, long steel producers, traders and buyers, as well as scrap suppliers will convene at the SteelOrbis Fall 2012 Conference & 67th IREPAS Meeting in Munich on September 30-October 2, the second rendezvous of traditional conference series this year. Given the current stagnancy of steel markets, the meeting is expected to play an important role in gathering finished steel buyers and sellers, scrap suppliers and steel producers together, providing the participants an opportunity to better evaluate the state of the markets with the help experts' presentations regarding steel markets and macro economy.