US domestic HRC and CRC prices have stayed mostly neutral, once again, although sources close to SteelOrbis have said that prices for both products have been “wobbling” within their respective ranges. Earlier in the week, US HRC prices were trending toward the bottom of last week’s range of $96-$98 cwt, ($2,116-$2,161/mt or $1,920-$1,960/nt) FOB mill, but today it appears that mills are trying to push firmly for transactions toward the top.
A similar situation has been reported for US domestic CRC spot market prices. As such, last week’s average transaction range of $106.00-$109.00 cwt. ($2,337-$2,403/mt or $2,120-$2,180/nt) FOB mill, continues to hold.
Also notable is that sources close to SteelOrbis continue to remain split on their predictions for the market. Whereas some believe that this price wobbling will be normal for the rest of the year, with spot market prices hovering within $1.00 cwt. ($22/mt or $20/nt), up or down, within the current average range, others point to impressive interest in offshore offers, which are still coming in at price points that are significantly below US domestic offers. As of today, most import HRC is being offered in the range of $70-$75 cwt. ($1,543-$1,653/mt or $1,400-$1,500/nt), DDP loaded truck in US Gulf coast ports., while US import CRC offers are being heard in the range of $80-$85 cwt. ($1,764-$1,874/mt or $1,600-$1,700/nt), DDP loaded truck in US Gulf coast ports.
“We’re of the camp that imports are going to start putting some hefty downward pressure on domestic prices,” another source said. “It’s not a matter of if it’s going to happen, it’s a matter of when. Will it happen this month? Next month? In January? That’s the million dollar question.”