Soft US scrap prices and still-short ex-mill lead times are continuing to take their toll on US domestic cold rolled coil (CRC) spot market prices.
US domestic scrap pricing settled down across the board during the October buy-cycle, which helped place downward pricing pressure on US flat rolled steel prices, including CRC spot market prices. Ex-Midwest mill lead times for US CRC continue to hold at approximately five weeks, sources note.
The most commonly reported spot market price transaction range, which last week was heard at $37.50-$38.50 cwt. ($827-$849/mt or $750-$770/nt), ex-Midwest mill, has ticked down by $2.50 cwt. ($55/mt or $50/nt) on the low end, and down by $1.50 cwt. ($33/mt or $30/nt) on the top end in the past seven days.
This brings the current average spot market price transaction range to $35.00-$37.00 cwt. ($772-$816/mt or $700-$740/nt), ex-Midwest mill. US CRC spot market prices are not expected to level until buyers are sure that US domestic scrap prices have bottomed.
Looking offshore, US import offer prices from Turkish and mills continue to be heard at $30-$31 cwt. ($661-$683/mt or $600-$620/nt), DDP loaded truck in US Gulf coast ports. SteelOrbis has further learned that US import CRC offer prices from South Africa, Thailand and Taiwan are reported to be trending in the same range as Turkish offer prices.