US domestic CRC price corrections take a breather

In the middle part of March, players within the US domestic cold rolled coil markets questioned whether the market was on the verge of settling, yet prices ticked down another $1.00 cwt. ($22/mt or $20/nt) a week later.  Today, prices are holding level from where they were one week ago and continue to trend at approximately $29.00-$31.00 cwt. ($639-$683/mt or $580-$620/nt), ex-Midwest mill.  “The range is still the same but if someone wants to talk tons, can they negotiate a deal?  Probably so,” according to one Midwest-based source.   Activity is still pretty good, according to other sources, who say that excess inventory continues to be the market’s biggest challenge.

In terms of offshore offer prices, they too have held steady since our last report a week ago.  Trader sources, however, say they’re becoming increasingly wary about booking anything out of China because of increased trade case chatter.  “The writing seems to all be on the wall at this point."