Do you have excess stainless steel scrap that’s waiting to be sold? You should consider selling it now because the stainless scrap prices have exceeded 2019 initial estimations and are now dropping. Between January and early September, the prices steadily increased. One of the reasons why the prices continued to climb in the United States was due to the increase of nickel pricing on the London Metal Exchange (LME).
Speculation in the Marketplace
Some scrap metal dealers (Jan – Sept.) believed the price improvement was caused by the speculation of potential (reduced) raw nickel supply issues and ongoing London Metal Exchange nickel price fluctuations. These scrap buyers hoped that the price changes were due to increased demand. For some processors and dealers, it has been a roller coaster ride for them. With all the speculation in the air, & strong pricing, it was easy to forget that the demand and supply in the real world did not match what Nickle was trading for on the LME.
A Bubble that’s Close to Bursting
Although 300 Grade stainless steel prices significantly increased since late June, major stainless steel processors in the United States realize that currently, with the steady drop in LME Nickle values since early September that the bubble is starting to burst. Those parties who believed that the Nickle market was looming downward, causing Stainless Steel scrap prices to retreat in the months ahead, were correct in their assessment of the market.
Pricing of 300 Series Stainless Steel Alloys
The Nickle market has indeed started to decline since about mid-September 2019. The NJ scrap dealers (& throughout the U.S.) who feared that the value of Stainless Steel was artificially high for many months this year were accurate in their evaluation. The prices for 304 Stainless Steel & 316 Stainless steel have dropped as of last month and continue to decline.
H&C Metals is therefore advising its scrap metal supplier customers to not hold their scrap Stainless, as today’s price may potentially be viewed as a great price in another 30-days or so.
How to Sell Your Stainless Scrap
Selling scrap metal is an excellent way to make money from materials that are unusable. You can be a good steward of the environment & earn some extra cash. If you are looking to sell your stainless steel scrap, you have come to the right place. H&C Metals, Inc. offers professional recycling, pickup, and hauling services for nonferrous metals, (including Stainless Steel) in New York, Pennsylvania, New Jersey, and the surrounding areas.
To learn more about our full-service scrap metal facility, & the Stainless Steel market & pricing, feel free to reach out to our experienced staff members by calling 973-589-7778.