Prices
July 31, 2014
Hot Rolled Futures Prices Pop after Weeks of Malaise...
Written by Bradley Clark
The HRC futures market has continued its upward trend in the past few weeks with recent bullish events in the physical market supporting prices. While nearby periods remain firm with August and September trading around $650-660, further down the curve cal 15 prices have trended upwards trading up to $643. Similarly, Q1 and cal 15 prices have seen upward pressure trading between $635-645, with the bid moving up $5 / ton from last week.
Further news from the physical market of yet further consolidation with Severstal being sold to domestic mills has continued to support prices. So far, the summer lull has not materialized and with U.S. GDP at 4 percent growth the demand side looks to help prices extend further. Increasing tensions in the Black Sea continues to limit new imports on HRC from Russia, the fundamentals look to support the market through the end of the year.
