Scrap Posts Sideways for May
Chicago Shredded Scrap posted officially this morning sideways from April at $430/ton. This is in line with expectations to begin the month, as scrap supply is ample, but demand from mills has also picked up. Despite posting sideways, Mills announced rebar price increases previously that the market is digesting. While mills do not necessarily always follow the raw materials dollar for dollar, typically it is raw materials, namely shredded scrap, that are a leading indicator of how rebar pricing will move.
We will continue to monitor events in the market and update accordingly. Have a great week.
