Ferrous scrap prices in the US Midwest recovered during the October trade, with sellers optimistic that further upside is in store for the market before the year draws to a close.
Midwest mills were in and out of the October market in less than 48 hours, willing to pay a $20-per-gross-ton increase to lock up No1 busheling and a $10-per-ton increase to secure secondary grades including shredded scrap and No1 heavy melting scrap.
One producer even tried to lure large sellers with a 90-day supply agreement on prime scrap but did not have much - or any - success at the attempt.
Detroit mills entered the market on Wednesday October 3, and other Midwest areas such as Chicago had finished by the end of the day on Friday October 5. One...