Italian scrap market sources indicate that local scrap prices have bottomed out. As SteelOrbis reported two weeks ago, in the Italian market prices are at the levels of late 2015, and for the immediate short-term it is thought they will continue to float at around these levels. In recent days, there has been a slight increase in demand with a lower volume of offers since the excessive weakness of prices has resulted in a sharp drop in scrap revenues. Meanwhile, steel production in Italy has been impacted by the restriction of rebar exports to Algeria. According to some of the sources interviewed, Italian scrap prices could indicate a rebound of €10-15/mt ($11-17/mt) in March. It seems that in recent days some Italian steel producers have already accepted some minor adjustments in prices for scrap orders.
€1 = $1.10