However, in spite of the fact that buyers have ceased purchasing, nominal prices have remained at last-week levels. The stability is largely the result of the policy of US traders, currently enjoying favourable conditions. Firm demand within the country and constantly rising offers of the material ($60/t up w-o-w), as well as persistent demand for scrap from the key foreign buyers, have allowed local scrap collectors to end the month with high prices. For example, estimated prices for US HMS 1&2 (80:20) are at $515-520/t C&F now, unchanged from last week. In turn, shredded scrap is priced at $520-525/t C&F at least. European traders have far less advantage, though they are reluctant to reduce their prices to Turkey, waiting for local
buyers to act. Currently, nominal price for European HMS 1&2 (80:20) is $515/t C&F. Offers of HMS 1&2 (70:30) from a Belgian trading company are the exception – they are coming at $495/t C&F. However, considering quality of the material and the policy of the company that usually sets prices at dumping levels amid uncertain market, this is hardly the beginning of downward trend, traders believe.CIS suppliers of ferrous scrap are in the similar situation now. Only those of them, who were active during holidays, have
sold their material at $510-515/t C&F, while most of traders are negotiating sales at $495-505/t C&F, having just come back to the market in mid-January.
Pig Iron
In the Turkish pig iron market, both import and domestic prices increased at the end of December. Having bought sufficient amounts of the material, consumers are not willing to make big purchases now. Nevertheless, offers keep growing. According to the available information, the latest deals were concluded with Ukrainian exporters at $525/t C&F Marmara, which is $10-15/t above the level recorded in the last week of December. Ukrainian material is currently quoted at $540-545/t C&F. There are also offers from Russian exporters ranging $570-580/t C&F. Now, CIS suppliers, however, have to compete with local traders primarily – with stocks of previously purchased pig iron, they can sell it at prices below import quotations ($520-535/t C&F).
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