The most commonly heard spot price transaction range for
US domestic hollow structural sections (HSS)
tubing has continued to drift downward since out last report two weeks ago.
Today’s average transaction range, according to SteelOrbis sources, is being heard between $43.50-$45.50 cwt. ($959-$1003/mt or $870-$890/nt), ex-Midwest mill, which reflects an approximate $2.00 cwt. ($44/mt or $40/nt) dip on the low-end from price levels heard in mid-July.
Current prices are down $3.50 cwt. ($77/mt or $70/nt) on the low-end since mid-to-late June.
The current downtrend is believed to be tied to both the slow, downward drift in
US HRC prices and lackluster order activity at HSS tube mills.
“There isn’t much reason for this other than slow orders at tube mills which is being compounded by some inventory buildup,” one source said. “I certainly do not expect the sky to fall with factors, such as the final determinations announcement in the
US HRC trade case that are expected this week, that are expected to keep flat rolled from drastically sliding.”