Nucor Sheet Mill Group today announced they’d be raising prices on all sheet steel products, including HRC, CRC, and HDG coil, by $2.50/cwt. ($55/mt or $50/nt), effective with all new orders. This is the first increase announcement put out by the company since February 28.
Sources close to SteelOrbis say they believe this is a “largely defensive move,” as in some instances, deals below $40 cwt. ($882/mt or $800/nt), FOB mill, have been heard throughout the marketplace.
“The other mills haven’t announced yet but I think it’s just a matter of time,” a source said. “Will [the announcement] keep prices from sliding further? Possibly. Will it get prices to start moving back up? I think the jury is still out on that."
A second source agreed.
“Lead times are short and we all saw what happened to [busheling] scrap prices this month," he said. "The mills are insane if they think people are going to accept higher prices, and I'm not convinced that today’s announcement is going to get buyers off of the sidelines."