UNITED STATES March 15 2016 2:31 PM
NEW YORK (Scrap Register): United States shredded scrap prices rose sharply during the week ended March 04, while major US aluminum scrap commodities weekly average prices on Scrap Register Price Index remained flat.
According to TSI, US Midwest weekly shredded index increased nearly $20 a long ton to $201 a long ton the week (delivered mill). Scrap dealers were holding off on sales earlier in the week in order to capitalize on the tight supply in the market.
This proved to be successful as prices escalated quickly and mills began to aggressively seek scrap, in turn accepting higher offers from dealers.
Participants believe that scrap prices had been too low to attract material to the market for March buy week, with some dealers still fulfilling commitments from last month, hence the market experiencing the dramatic increase in prices.
Looking ahead, some participants are wary as to whether or not the mills will be successful in in securing all their requirements for March, as dealers will be reluctant to over-commit to orders again this month.
The weekly average scrap prices of Al/Cu Rad with Iron, Al/Cu Radiator, Alum Breakage, Alum Litho Sheets, Alum Old Sheet, Alum Transformer and Mix Alum Casting remained almost flat during the week.