On December 13, SteelOrbis reported wide trading expectations that resulted in a highly uncertain January scrap trading week.
East coast exporters were bracing for further export price declines to Turkish mills, but the long-awaited bulk purchases have now extended beyond their expectations. East coast scrap sellers expressed expectations of a downward scrap price adjustment of $5-20/gt ($5-20/mt) in January compared to December settled prices. Several sources reported expected stability in the Midwest that could result in sideways to strong sideways price movements in the January scrap buy-cycle.
Today, January 3, most sources report that trading has been slow to develop in January. A source in the Pennsylvania region has informed SteelOrbis of shredded scrap transactions down $30-35/gt ($30-36/mt) in his region. While the pricing may firm up during the bulk of trading next week, the starting point is giving a glimpse of soft pricing in the January scrap trading cycle. In the Ohio and Pennsylvania region, several sources report an updated forecast for scrap settled prices for the week ended January 11 of busheling scrap trading down $20-30/gt ($20-30/mt) and shredded scrap trading down $25-35/gt ($25-36/mt). Regional factors are expected to influence prices.
SteelOrbis reported US domestic settled prices for several regions in December.