Ferrous Scrap Drops Another $30-40 Per Ton in October

Lack of demand for ferrous scrap, especially in the Ohio Valley and Chicago market, forced prices down another $30-40/GT for October, on top of a similar decline in September, sources tell Steel Market Update. Scrap prices are their lowest in years, dropping eight out of the last 10 months. Shred prices today are around $215/GT, with prime grades only around $10 to $15 higher.

“Momentum did shift to the sellers’ side in late trading as the markets trended from down more than $40 a ton to down $35. Then sellers began pulling tons as they smelled a bottom. Multiple mills were still looking for additional tons [as of Oct. 7],” said a dealer in the Northeast.