US domestic scrap prices settle up significantly in December

US domestic scrap prices pushed up markedly during the December buy-cycle driven by a combination of rising scrap demand, tight supplies of scrap, the lack of cost effective alternatives to scrap, and the upward dock prices experienced through November as East coast exporters sought to fulfill previously sold cargoes. The settled ranges are found in the table below.

On the East Coast, scrap prices increased as follows in comparison to the early November buy cycle: HMS I $46-51/mt ($45-50/gt), shredded $46/mt ($45/gt), busheling $41/mt ($40/gt), and P&S $41-46/mt ($40-45/gt).

In the Ohio Valley, HMS I prices increased $46-51/mt ($45-50/gt) while shredded, busheling and P&S moved up $51/mt ($50/gt).

In the Pennsylvania region, scrap increased $41-46/mt ($40-45/gt) across all grades.
The Midwest and, specifically, the Detroit and Chicago regions led the way early in pushing prices up in the buy cycle.  HMS I and shredded increased $51/mt ($50/gt) while busheling and P&S increased $41-46/mt ($40-45/gt).

In the Gulf, scrap prices increased $30-36/mt ($30-35/gt).  The weaker increase in comparison to other regions is attributed to weaker scrap demand from Mexico given the devaluation of the peso against the dollar post the US election results.