Ferrous Scrap

RMU: Ferrous market shapes up

Written by Stephen Miller

After a considerable wait, the market for ferrous scrap for May shipment has started to form. The Detroit district has entered the market buying prime grades at sideways pricing and obsolete grades at down $20 per gross ton (gt) from April levels. 

Ferrous scrap was generally predicted to trade in a “soft sideways” manner for May.  So, those expectations seem to have been met. The Detroit buy should form a platform for other mills to adopt as the market settles over the next several days. 


It did not take long for other districts to enter the market after Detroit dipped their toe in. For the most part, the other districts followed along with minor variations.

The Philadelphia market went sideways across the board mainly due to the ongoing strength in the export arena.

Several markets only went down $10/gt on obsolescent grades, but prime traded sideways in all markets thus far. These prices should not draw too much resistance, if any, according to several sources.

Editor’s note: This article appeared first in Recycled Metals Update (RMU), SMU’s new sister publication. RMU is devoted entirely to the ferrous and nonferrous scrap markets. If you’d like to learn more, visit RMU’s homepage and take out a free, 30-day trial.

Stephen Miller

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