Following the previous softening in flat steel spot prices caused mainly by the weak mood in the hot rolled coil (HRC) segment, this week's spot offers have remained at around last week's levels as a result of persistently weak demand and the silence in the HRC market. Though the market is trying to avoid price reductions, most market participants believe that price reductions may be observed in the coming weeks precisely due to the pessimistic mood that continues to put pressure on both HRC mills and flat steel spot traders.
“Unfortunately, there has been no favorable movement in pricing or demand, so we stay the same. I believe this unfavorable trend will persist for some time and price declines will most probably follow,” a trader told SteelOrbis.
In accordance with this week's workable prices which are at $650-670/mt ex-warehouse, bigger traders are offering at about $665-670/mt ex-warehouse, while medium-sized and smaller traders are offering at roughly $650-660/mt ex-warehouse.
Similarly, in the cold rolled sheet segment, most sellers have decided to keep offers stable week on week at $780-800/mt ex-warehouse.
