1. STALLED: Old cast moves sideways amid weak demand and thin supply.
US domestic prices for old cast have been steady over the past several weeks at… cent/lb as sluggish inventory replacement at the dealer level has offset thin demand.
2. SOME EXPORT SUPPORT: Offshore buyers prop up old sheet as MWTP.
US secondary smelter prices for old sheet steadied at… cent/lb despite lower MWTP given steady export demand.
3. BEARISH OUTLOOK. US twitch prices for September delivery poised to edge lower.
Early price indicators for September twitch business have been softer amid weak domestic demand, and an impending United Autoworkers strike loomed.
MEXICAN MARKET COMMENTARY
SUPPLY PLUMMETS: Mexico’s UBC scrapyard intake plunges…% y/y.
Mexican scrap dealers/traders have extremely tighter operating margins compared to last year’s amid much lower traded volumes, especially on the UBC side, along with plunging scrap prices at a time when they apparently face inelastic operational and labor costs.