The most commonly heard spot market price for US domestic hot rolled coil may still be trending between $34.50-$35.50 cwt. ($761-$783/mt or $690-$710/nt), ex-mill, but sources close to SteelOrbis have said that volume buyers “aren’t having any problems negotiating deals.”
One source indicated his company booked US HRC at $2.00 cwt. ($44/mt or $40/nt) below the average price.
Rumors that mills may attempt what would be their third flat rolled price increase this year remain persistent, sources said. Some believe the increase would be aimed at eliminating deals, while others feel that mills still want to get the top end of the range “a bit higher before the summer doldrums arrive.”
If prices do firm up on the top end, another source said, it “would be unlikely to go more than $1.00 cwt. ($22/mt or $20/nt) higher, and even if that happened, higher prices are unlikely to last for too long.”
Looking offshore, as with last week, HRC spot market prices from Serbia and Egypt continue to trend approximately $1.50 cwt. ($33/mt or $30/nt) below the average US domestic range, DDP loaded truck in US Gulf coast ports. Mexican HRC is also being offered at approximately $1.50 cwt. ($33/mt or $30/nt) below US prices, FOB Houston.