The uncertainty about underlying consumption in the UK and Europe, because of weaker manufacturing, helped to confirm the downward trend. And the weakness of sterling versus the dollar strengthened the prospect of increased volumes of British exports of steel scrap and steel products, trade sources told Fastmarkets last Friday.
The way that UK steel scrap prices will move in the near term will also depend on demand from consumers toward the end of August and into early September, when steelmakers address their needs for feed intake before they set their smelting schedules for the rest of the year.
“The European steel scrap export market has been up and down into Turkey in the past few weeks, while there is enough - but not plenty - steel scrap material in the UK,” one consumer told Fastmarkets.
“The weaker pound versus the dollar has probably counteracted a drop-off in demand from Turkey, with British...