Last week, SteelOrbis reported that despite tube mills’ recent $2.00 cwt. ($44/mt or $40/nt) price increase announcement, spot market prices for US domestic HSS tubing “hadn’t moved all that much.” At that point, although mills were mostly quoting at $42-$43 cwt. ($926-$948/mt or $840-$860/nt), but deals at $40 cwt. ($882/mt or $800/nt), ex-mill, were reportedly still available.
This week, sources close to SteelOrbis say it’s “more of the same.”
“There does not seem to be a lot of confidence in the latest round of increases,” a source said. “Demand is lackluster, and day-to-day resale numbers show that mills are having a hard time getting the increase.”
Another source agreed, noting that US flats’ mills most recent price increase also seems to have fallen flat. Additionally, previous expectations that June scrap prices would firm have dwindled.
“There is no market confidence out there,” the source said. “If something does not firm up [HSS] pricing it could go backwards instead of forward.”