Stainless steel scrap market update

The Steel Index has reported that the United States hot rolled cold (HRC) steel weekly average prices plummeted by $22 a short ton week-on-week to $493 a short ton in the week ended February 27, 2015. In addition an American service center mentioned that they would no longer accept bidding for material because of high inventories, which are expected to last into May and perhaps even June.

It is a similar case with many traders having retreated from buying imports given the heightened risk of reselling material into a weak domestic market experiencing falling prices. On the other hand, one mill executive reiterated his view that the market was close to a trough. It should be noted that the prices of major stainless steel scrap commodities like 201 SS, 301 SS, 309 SS were unchanged on Scrap Register US Price Index.

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