US domestic flats pricing rocks steady

However, just because transaction ranges have trended sideways, that's not to say that transactions more toward the lower end of that range are not becoming more prevalent.  And as reported last week, it's strongly believed that if an order for significant tonnage is on the table, deals slightly below the published ranges below could be negotiated. 

"It's the same story of over production and lackluster demand," commented a Southeast service center. "Mills just keep rolling and rolling and no one wants to be the first to cut back."

If you need to buy coils, delivery remains relatively swift.  Lead times have trended neutral since our last report a week ago and continue to be reported in the range of two and three weeks for HRC and three to four weeks for CRC.

That reality, according to buyers, is skewing the market-- although mills are still hopeful to get prices up, savvy buyers know that order books are soft and that coils are readily available, which means that trying to move toward selling at a premium, in the current market conditions, is more of a pipe dream than an achievable goal.

For now, the trend for HRC and CRC will remain sideways, with lighter than desired order activity anticipated through the remainder of the month. 

Looking to imports, previously reported ranges have for the most part, remained neutral.  The only notable change from our last report is a $1.00 cwt. ($22/mt or $20/nt) softening of spot prices for Mexican HRC, which now brings offerings out of Mexico on par with those seen domestically in the US.  It's also being reported that China, while still offering, has "priced themselves out of the market", meaning Chinese offerings are not being readily entertained.

*Mexican offers are FOB loaded truck US border states.

**Chinese and Brazilian offerings are duty-paid FOB loaded truck, US Gulf ports