The June average benchmark index for Turkish imports of HMS #1&2 80:20 fell by 0.9% or over $3 a ton month-on-month.
The lack of any significant price volatility in the Turkish imported scrap market continued into June.
According to TSI, daily benchmark scrap price for Turkish im-ports of HMS #1&2 80:20 initially cooled off a little from $374 a ton early in the month, and fluctuated between $370 a ton and $372 a ton thereafter.
This index has now remained within a $6 a ton range for the last two months, representing a significant period of stability for the market.
Falling rebar prices and the upcoming Ramadan period, when demand for steel typically drops off, meant producers were pushing for lower scrap prices in June.
However, recyclers held their ground arguing that scrap flows were relatively weak, with yards around Europe not exactly brimming with material. This, coupled with a lack of export activity from the US, is predominantly why we have seen this stability in the market, with neither side willing to budge.
Towards the end of the month, scrap buyers were taking a wait-and-see approach, with the traditional US domestic “buy-week” for July looming on the horizon. Initial talk is of a rise in domestic pricing, which could result in further constricted supply to Turkey as exporters look inland.