With buying activity already picking up early this week, US mills have been able to firm up US domestic base spot prices--up about $1.00 cwt. ($22/mt or $20/nt) to $40.00-$41.00 cwt. ($882-$904/mt or $800-$820/nt) for hot dipped galvanized (HDG) and Galvalume since last week, although there has not been much change in prices on products with coating extras. As SteelOrbis has previously reported, some mills adjusted their coating extras costs late last year to reflect a drop in zinc prices, which still remain at depressed levels; as a result, there are still quiet deals being cut.
Coupled with higher raw material costs in January, steady end-use demand and increased buyer confidence coinciding with the start of the New Year will likely be enough to keep domestic coated flat steel spot prices rising throughout at least the rest of this month. Buyers aren't overly optimistic, however, and aren't willing to build inventory levels or make purchases beyond what is needed. One factor contributing to that lingering hesitancy is that while most mills are touting lead times in March, sources tell SteelOrbis that virtually all coated mills still have February availability.
Cwt. | Metric Ton (mt) | Net ton (nt) | Change from last week | |
US domestic HDG base price | $40.00-$41.00 | $882-$904 | $800-$820 | ↑$1.00 cwt. on low end |
0.012"x40.875" G30 | ||||
ex-Midwest mill | $52.00-$53.00 | $1,146-$1,168 | $1,040-$1,060 | neutral |
0.019"x48" G90 | ||||
ex-Midwest mill | $52.00-$53.00 | $1,146-$1,168 | $1,040-$1,060 | neutral |
US domestic Galvalume base price | ||||
ex-Midwest mill | $40.00-$41.00 | $882-$904 | $800-$820 | ↑$1.00 cwt. |
0.019x41.5625 Gr80/AZ55 | ||||
ex-Midwest mill | $51.00-$53.00 | $1,124-$1,168 | $1,020-$1,060 | ↑$1.00 cwt. on high end |