August Scrap Prices Expected to Slightly Weaken

Steel Market Update sources expect ferrous scrap prices to weaken further in August, potentially registering the fourth consecutive month of declines since March and April’s record high prices. Obsolete grades are anticipated to decrease around $30 per gross ton over July, while prime scrap is expected to ease marginally.

“Despite what I think is slightly better US scrap demand in August relative to last month, we are confronted with a considerably weaker global scrap market this time,” said one Northeast scrap executive. “Shredder feed flows are ok but not hot, and other obsolete grade flows are quite weak. That will limit some downside for obsolete grades.”