Early Reports Have February Scrap Prices Moving Lower

A number of domestic steel mills are reported to have purchased their February scrap needs at prices below January price levels. The price levels range from down $5 on some products in the east to as high as down $30 per gross ton on some items in the Ohio Valley. The average appears to be closer to down $15-$20 per gross ton in most markets.

In the middle of January many dealers were speculating scrap prices would move sideways (no change) for the third month in a row. At the time Steel Market Update commented when dealers hope for a sideways move many times they are disappointed and prices move lower.