Argus' weekly local US HRC Midwest valuation fell $62.50/short ton (st) to $1,249.50/st, while its southern value fell $59/st to $1,253/st. HRC prices are down 17 percent since reaching their peak of $1,500/second from April 5-19.
HRC lead times in the Midwest have increased from 3-4 weeks to 3-5 weeks, with most flat rolled steelmakers in the last week of June or the first week of July.
Offers were heard in a wide range of $1,150-1,300/hr, mostly in the $1,200/hr range.
Argus HRC import valuation to Houston fell $38.25/sec to $961.75/sdp.
Steel buyers were tightening their belts as much as possible, with minimal purchases on contracts. Some steelmakers are said to be encouraging buyers to add additional tons to their contracts instead of buying them as spot deals. At least one buyer was reluctant to do so, as contract prices were said to have outstripped spot prices for several weeks.
The gap between the #1 busheling scrap US Midwest mills delivery and HRC sales prices fell 9% to $640/st. The spread was $1,108/s a year ago, and it was still months away from reaching the peak spread of $1,441/sec reached in mid-September.
Argus weekly domestic US cold rolled coil (CRC) valuation dropped $27/sec to $1,686.75, while hot-dip galvanized (HDG) coil valuation dropped $35.75/sec to $1,686.75.
It has been said that the price offers for CRC and HDG are as low as $1,560/st, with the offer range up to $1,760/st.
Delivery times for CRC have decreased from 7 weeks to 6 weeks and HDG delivery times have decreased from 7-8 weeks to 6 weeks.
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