UNITED STATES September 28 2015 4:46 PM
NEW YORK (Scrap Register): The monthly average of US shredded scrap index for domestic Midwest deliveries fell a further 10.4% in August. The price finished the month at $230 a long ton, another all-time low since the index began in 2010 and 34% ($117 a long ton) below the level at the beginning of this year, said The Steel Index.
The monthly average of TSI’s US Midwest shredded index decreased by $27.35 a long ton or 10.4% month-on-month in August to $236.40 a long ton (delivered mill).
For Live US Scrap Prices Log on to Scrap Register
Prices dropped across the board, but the severity varied by both region and grade. Due to the volume of material held by suppliers, and no sign of a sudden uptick in mill utilization, it had been clear to many that August and the months beyond would see a collapse in pricing.
Consequently, this urged suppliers to sell as much inventory as possible at current prices, with any subsequent sales in September and October likely to be lower still.
The oversupply situation was exacerbated by Canadian scrap suppliers sending material across the border, who were able to sell at nearly stable dollar rates compared to last month, given the US$/CA$ currency fluctuation.
(This article is compiled by Vibin Antony on behalf of Scrap Register. Send in your suggestions and comments to firstname.lastname@example.org)