US domestic plate market awaits July scrap trend

Friday, 28 June 2013 01:31:22 (GMT+3)   |   San Diego

The US domestic plate market has remained stagnant in the last couple weeks, but could begin to show signs of life in early July. Even though the plate market is stable, it doesn't mean that spot prices are entirely firm. After slipping $0.50 cwt. ($11/mt or $10/nt) in mid-June, prices have remained in the $35.00-$36.00 cwt. ($772-$794/mt or $700-$720/nt) ex-Midwest mill range, although larger orders continue to garner slight discounts.  Mills have shown little willingness to lose an order and have been heard making negotiations on a case by case basis.

 Service center sources tell SteelOrbis that the market has been especially quiet over the last couple weeks, but that could change by mid-July. Scrap prices in July are poised to increase--current predictions range anywhere from a $10-$30/lt jump over June levels--which could give plate mills the confidence to firm up spot prices, especially as the impact of imports seems to have subsided in recent weeks. No change has been reported to the last Turkish offer of $31.00-$32.00 cwt. ($683-$705/mt or $620-$640/nt) DDP loaded truck in US Gulf ports; and with futures orders placed today not set to arrive until late Q3/early Q4, overall interest in imports is light.


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