Scrap steel prices bounce back

By Tom Stundza -- Purchasing, 3/5/2008 10:04:00 AM

The average price paid for automotive factory bundles of scrap regained the $10 it had lost the month before in the latest auctions. So, auto-bundle scrap is averaging $393/gross ton in March-delivery sales. Strong domestic demand from steel mills and foundries and high export prices are boosting domestic prices for other key grades as well.

The Midwest prices in early March sales for No. 1 heavy melt grade are averaging $353, up from the average $347 of February sales, Chicago-area scrap processors tell the Platts Metals Daily subscription newsletter. Midwest processors also say shredded scrap is back to January’s $397 and top-grade busheling scrap is back to $420.