The most commonly hears spot price transaction range may still be trending between $38.00-$39.00 cwt. ($838-$860/mt or $760-$780/nt) ex-mill, but sources close to SteelOrbis have said that deals and discounts “are readily available for the right buyer.”
“I think the market is looking for some direction,” a source said. “Mills are aggressively trying to push prices up and that’s causing customers to get nervous. The deals are out there, but if you need material quickly, you’re going to pay a premium.”
Another source said that while he’s heard that mills are trying to hold their line, he’s heard of some discounts, “but nothing lower than $37.50 cwt. ($827/mt or $750/nt) ex-mill,” he added. That same source indicated that while he knows of another customer who can source from domestic mills at closer to $35.00 ($772/mt or $700/nt) ex-mill, a third source confirmed that price point. “That price isn’t available to everyone, but we know it’s out there,” he said.
The big question for now is whether mills will be able to hold a line with pricing, or whether February scrap prices, which are forecast to dip slightly, will place downward pressure on the domestic CRC market.