The most commonly reported spot price range for US domestic hot dipped galvanized (HDG) and Galvalume coil have firmed by approximately $0.50 cwt. ($11/mt or $10/nt) since our last report a week ago, bringing the current average spot price transaction range for base-price HDG coil to approximately $25.50-$27.00 cwt. ($562-$595/mt or $510-$540/nt), ex-Midwest mill, but some are expressing concern that the recent price-firming trend could be running out of steam.
Order activity remains steady, according to sources, but it’s started to taper off. “We saw some increased activity in January due to the standard lack-of-buying-activity that’s typically seen in December, but now that people have placed their orders the uptick has leveled off,” one Midwest-based source said.
Cwt. | Metric Ton (mt) | Net ton (nt) | Change from last week | |
US domestic HDG base price | $25.50-$27.00 | $562-$595/mt | $510-$540/nt | up $0.50 cwt. on bottom end |
0.012”x40.875” G30 | ||||
ex-Midwest mill | $37.50-$39.00 | $827-$860/mt | $750-$780/nt | up $0.50 cwt. on bottom end |
0.019”x48” G90 | ||||
ex-Midwest mill | $35.50-$37.00 | $783-$816/mt | $710-$740/nt | up $0.50 cwt. on bottom end |
US domestic Galvalume base price | ||||
ex-Midwest mill | $26.50-$28.00 | $584-$617/mt | $530-$560/nt | up $0.50 cwt. on bottom end |
0.019x41.5625 Gr80/AZ55 | ||||
ex-Midwest mill | $36.50-$38.00 | $805-$838/mt | $730-$760/nt | up $0.50 cwt. on bottom end |
And, as with last week, rumblings that US domestic scrap prices could begin to soften again in March has a number of buyers concerned about whether US domestic HDG prices could soften as well. “People are being careful about what they’re buying and those who were entertaining offshore offers have taken a step back. Companies lost so much money last year that they want to be conscious and careful about what they’re booking, especially if there’s concern that prices could start to come down again,” another source said.