While more upside awaits finished steel prices, the United States' domestic ferrous scrap market might have plateaued or reached its 2021 peak, buyers and sellers told Fastmarkets.
At the same time, there are a host of positive aspects that suggest the market will remain strong, even if upside might be limited.The July market was like a Kentucky Derby horse race, with commentators spending hours discussing an event that finishes in around two minutes. The US trade - delayed by a long holiday weekend - kicked off the afternoon of Wednesday July 7 and was over by the end of the next day, with the market embracing the national trend of sideways on secondary grades and up by $20 per gross ton on prime scrap.Secondary grades traded sideways while mills were offered excess tonnage and quickly recognized there was no need to coax sellers with higher prices. The trade for these grades was slightly hampered by one large producer reducing its overall purchases because it overbought in June amid fears about the unknown supply situation for July.Mills were able to go sideways because...