HRC Futures Breaks the Hearts of the Bulls as Prices Experience a Break ‘down’

Written by: Brad Clark, Director of Steel Trading, Kataman Metals

It appears that the market finally capitulated this week with the physical market taking a turn south as recent price hikes seem to have failed.  After a couple of weeks with consumers, distributors, producers of coils eyeing each other up to see who will blink first it seems the consumers win this round. Too much inventory carried over from the recent nadir in prices last October to a continued weakening of end user demand have contributed to the resumption of prices sliding.