Spot market prices for US domestic flat rolled steel products have maintained their upward trajectory since our last report two weeks ago, and many believe that prices will continue to trend higher.
On November 20, the Friday before Thanksgiving, SteelOrbis reported that US HRC prices were trending at $34-$36 cwt. ($750-$794/mt or $680-$720/mt), ex-mill, whereas US CRC prices were trending at $44.50-$46.50 cwt. ($981-$1,025/mt or $890-$930/nt), ex-mill. Today, HRC prices are being heard at $40-$42 cwt. ($882-$926/mt or $800-$840/nt), with CRC prices hovering in the range of $48-$49 cwt. ($1,058-$1,080/mt or $960-$980/nt), ex-mill.
For comparison, in late August this year HRC prices were trending in the range of $22-$23 cwt. ($485-$507/mt or $440-$460/nt) ex-mill, whereas CRC prices were trending at $31-$33 cwt. ($683-$728/mt or $620-$660/nt) ex-mill.
“Scrap settled up significantly this month—and I don’t think anyone will be surprised if the flat rolled steel market comes up by another $1.00 cwt. ($22/mt or $20/nt) next week,” a source said. “We’re still dealing with a mill-created supply shortage, and we think we could see prices continue to climb well into the first quarter of next year.”
Many sources have confirmed that mills’ January order books are already closed, and they’re looking to secure higher pricing for February production.