Considering improved scrap prices and hot rolled coil (HRC) prices which are still strong, flat steel prices in the spot market have continued their upward movement. However, according to medium and small-sized traders, trade has not followed the favorable price trend and is still moving at a slower pace.
“Scrap and raw material prices continue to increase, and freight rates are rising as well. Because of this, HRC prices are rising along with spot prices, but demand is neither increasing nor improving,” a trader told SteelOrbis.
Larger traders, meanwhile, state that demand is still strong and at good levels. As a result, price hikes continue to be encouraged by the recent improvements.
Over the past week, workable domestic hot rolled sheet prices have climbed by $20-30/mt week on week to $710-740/mt ex-warehouse. While medium and smaller-sized traders provide roughly $710-720/mt ex-warehouse, larger traders offer around $740/mt ex-warehouse. However, a few sellers continue to offer lower levels at $690-700/mt ex-warehouse in order to attract buyers' attention.
As for cold rolled sheet, prices have risen to $830-850/mt ex-warehouse, from $790-820/mt ex-warehouse before. Meanwhile, some traders are targeting higher levels around $870-880/mt ex-warehouse.
