US flat steel pricing was mostly higher this week as domestic mills raised prices as insiders clamored to cover remaining December spot flat steel requirements ahead of holiday season industry shutdowns and vacations, market insiders told SteelOrbis this week.
This week’s assessment differs from that reported during the week of December 9, when domestic flat steel pricing was mixed for a second week amid continued low finished steel demand and sideways to lower December scrap prices, market insiders said.
Contacts said this week that domestic mills could be raising prices so as to bring spot market values closer to recent mill posted prices, which have exceeded spot values by nearly 10 percent, leading to confusion in many cases with market insiders.
This week, Nucor kept its Consumer Spot Price (CSP) for hot-rolled coils steady for a sixth week at $750/nt FOB mill ($832/mt), or $37.50/cwt., while competitor Cleveland-Cliffs advanced its spot price a week ago by $50/gt ($55/mt) to $800/gt ($882/mt), or $40.00/cwt., FOB mill for February requirements.
Even considering this week’s price advance, HRC spot values still exceed Nucor posted pricing by 8 percent.
In weekly flat steel markets, the SteelOrbis weekly spot average for HRC was noted 15/nt ($17/mt) higher at $34.00-35.00/cwt., or on average $690/nt ($761/mt) delivered to customer, compared with $675/nt ($744/mt), or $33.50-34.00/cwt., seven days ago. Market insiders report lead times for HRC from mills little changed at 3-6 weeks, indicating markets remain well supplied.
In other flat steel markets, CRC was reported on average $15/nt ($17/mt) higher on the week at $920-930/nt ($1,014-1,025/mt) versus last week’s $905-915/nt ($997-1,009), or $45.25-45.75/cwt. With HRC and CRC up by $15/nt, the current spread between the two key steel grades remains unchanged at $235/nt ($259/mt), or $11.75/cwt.
Spot HDG is reported in very light trade $5/nt less at $855-865/nt ($943-954/mt), or $42.75-43.25/cwt., versus a SteelOrbis weekly average seven days earlier at $865/nt ($954/mt), or $43.25/cwt. delivered to customer, market insiders told SteelOrbis.