US Steel Coil Prices May Have Hit Bottom
[tintuc]
The prices for steel sheets in the US were reported to be stable over the past week following price increases announced by Nucor and Cleveland-Cliffs. Market participants are awaiting the price assessments this week to see if the market will accept the announced price hikes.
Hot-rolled coil (HRC) prices have remained in the range of $630-650 per ton, while cold-rolled coil (CRC) prices have stayed steady at $990-1,000 per ton.
A Midwest distributor expects prices to rise in the coming weeks following the mills' announcement of HRC price hikes.
"The $700 per ton mark could be a reasonable expectation next week. Sales have been stable this week, and inquiries have increased. I don't see much increase in sales until after the election in November," the distributor stated.
Despite the potential price rise, service centers are still hesitant to stockpile inventory.
"No one wants tons of speculative inventory on their floors! Banks don't want to finance it, and CFOs are saying 'absolutely not,'" the distributor explained.
A steel coil consumer mentioned that although the market is unstable, the mills may be able to hold onto higher prices, forcing the market to accept the increase.
"Business activity is poor, but if all the mills are around $700 per ton, then that's the new price," the coil consumer said.
A source from a mill confirmed that the price increase signals a bottom for steel sheets.
"Our order books remain stable. Inventory is available for spot delivery, and rising material costs support the increase," the source said.
The prices for HRC and CRC during the same week of 2023 ranged from $820-850 per ton and $1,070-1,110 per ton, respectively.
[/tintuc]
The prices for steel sheets in the US were reported to be stable over the past week following price increases announced by Nucor and Cleveland-Cliffs. Market participants are awaiting the price assessments this week to see if the market will accept the announced price hikes.
Hot-rolled coil (HRC) prices have remained in the range of $630-650 per ton, while cold-rolled coil (CRC) prices have stayed steady at $990-1,000 per ton.
A Midwest distributor expects prices to rise in the coming weeks following the mills' announcement of HRC price hikes.
"The $700 per ton mark could be a reasonable expectation next week. Sales have been stable this week, and inquiries have increased. I don't see much increase in sales until after the election in November," the distributor stated.
Despite the potential price rise, service centers are still hesitant to stockpile inventory.
"No one wants tons of speculative inventory on their floors! Banks don't want to finance it, and CFOs are saying 'absolutely not,'" the distributor explained.
A steel coil consumer mentioned that although the market is unstable, the mills may be able to hold onto higher prices, forcing the market to accept the increase.
"Business activity is poor, but if all the mills are around $700 per ton, then that's the new price," the coil consumer said.
A source from a mill confirmed that the price increase signals a bottom for steel sheets.
"Our order books remain stable. Inventory is available for spot delivery, and rising material costs support the increase," the source said.
The prices for HRC and CRC during the same week of 2023 ranged from $820-850 per ton and $1,070-1,110 per ton, respectively.
