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| US ferrous scrap market |
Market Trends Show Bullish Sentiment Amid Steady Fundamentals
The US ferrous scrap market enters January 2026 on a stable footing. The Trend Indicator reached 57.3, signaling upward pressure on prices. Month-on-month, analysts forecast a 3.2% increase, following December’s stronger 4.2% gain. Inventory levels remain slightly above average at 52.2, reflecting steady mill stocking and supply-demand balance.
Buyers lead the bullish outlook, with a sentiment score of 59.72. In contrast, brokers are more cautious at 55, while sellers remain positive at 57.3. Overall, fundamentals are steady, with “All Unchanged” cited as the dominant market driver. Therefore, participants expect minimal volatility unless macroeconomic or geopolitical events intervene.
January Forecast: Tight Supply Supports Modest Price Gains
Survey feedback highlights continued low flows, minor weather disruptions, and political uncertainty. However, these factors are not expected to significantly affect prices. Export volumes have firmed slightly, yet domestic supply remains tight, supporting current pricing levels. As a result, January is projected to deliver modest gains, maintaining a bullish, though measured, market sentiment.
ScrapInsight Commentary
The US ferrous scrap market shows resilience amid balanced fundamentals and tight supply. Prices are likely to rise modestly in January 2026. Traders should monitor weather events and geopolitical developments, which could create short-term volatility. Overall, the market supports stable sourcing and recycling operations.
