Another strong export sale to Turkey a week before the November ferrous scrap trade kicks off in the United States is fueling expectations for domestic scrap price increases.
"This market will have legs to it for some time. We are poised for an uptick in November and December. Then you have new mills coming online in the first quarter," a Midwest seller said, suggesting that prime prices could move up by $30 per gross ton and obsolete prices by $40-50 per ton in the next trade. A scrap dealer who sells into numerous regions said he expects that a $20-per-ton across-the-board increase is baked into the market, but possible increases of $30-50 per ton are not out of the question.More than one source indicated that mills have already conceded that the market will see a $20-per-ton...