As SteelOrbis predicted last week, US domestic hot rolled coil (HRC) prices have continued to drift downward, with spot prices now in the range of $41.50-$43.50 cwt. ($915-$959/mt or $830-$870/nt) ex-mill, reflecting a decline of $1.00 cwt. ($22/mt or $20/nt) from the top end of the range and $2.00 cwt. ($44/mt or $40/nt) from the bottom of the range.
Sources tell SteelOrbis the downtrend is expected to continue. “I can’t believe anyone would still be paying more than that,” one source said, adding that prices in the “$43’s probably won’t be around much longer.”
US domestic scrap prices are also having an effect on the US domestic HRC price trend; while the September scrap buy-cycle has not yet concluded, early Midwest deals indicated a monthly decrease of $20-$25/mt in scrap prices depending on the grade, continuing the downtrend from August.