Scrap market sees early settlement signs in short holiday month

There has been debate about the direction of the US scrap market for December. Some market participants believe some grades can increase in price, especially secondary grades. There were no market players who believed prices could go down.

The market is still supply-driven, said a steel executive in the Central US. With winter weather already here, obsolete grades could see a tick upward, he explained. If these prices rise more than $20 per gross ton (gt), busheling could also rise to keep some spread over shredded. Noting December is another short shipping month, he predicted early settlements.