US HRC prices remain stable despite another price increase announcement

Last week, SteelOrbis reported US Steel and AK Steel rolled out a $1.00 cwt. ($22/mt or $20/nt) price increase, effective immediately on new orders; this week, Nucor has followed suit.  Spot prices, however, haven’t exactly wavered.  Although the most commonly reported ex-Midwest mill spot market transaction price has held at $32.00-$33.00 cwt. ($705-$727/mt to $640-$660/nt), the “biggest buyers with the most tons” are said to be able to get deals as much as $2.00 cwt. ($44/mt or $40/nt) below that range, while mid to large-size buyers may be able to negotiate deals up to $1.00 cwt. ($22/mt or $20/nt) below the most common range.

Order books are decent, according to sources, but they’re not exactly worth writing home about.  And while mills certainly are giving this round of increases their best “college try”, few, if any think it will actually stick.  “At this point the general consensus is that it was more about preventing prices from slipping down any further as opposed to pushing prices up.”