As expected, US domestic mills’ recent price increase announcement has had little impact on the current US domestic hot rolled coil (HRC) spot market price range, although sources close to SteelOrbis have confirmed that “low ball offers” are officially off the table. The current spot market range is still trending in the approximate range of $18.50-$19.00 cwt. ($407-$419/mt or $370-$380/nt), ex-Midwest mill, unchanged in the past week.
“Mills are no longer willing to negotiate deals to book tons,” said one SteelOrbis source. “If nothing else the price increase helped stop the downward spiral.” Order activity and inquiries, however, are trending light since our last report a week ago, as many have taken time off to celebrate the holidays. This light-activity trend is expected to hold until the first week of January.