Ferrous Scrap Prices to Rise in January?

Domestic steel orders are strong and flat roll prices are on the rise, which means demand from the mills is likely to push ferrous scrap prices higher in January.

“All things are pointing up for ferrous scrap,” said a dealer in the Northeast. Obsolete grades should rise in higher proportions than primes, but all grades will feel the effects of the increased global demand. “The export market is red hot, and domestic mills will try to avoid having to buy scrap off the East Coast. This will be easier said than done as mills to the South and West will make sure ‘their’ scrap does not leave.”