Hot Rolled Futures: $400/ton Still Key Support for HRC

The following article is written by Spencer Johnson of FC Stone LLC. With six years of experience, Spencer provides his customers strategic and tactical advice on protecting themselves against commodity price volatility in the steel markets. Spencer will rotate weekly futures articles with Andre Marshall of Crunch Risk, LLC. Spencer can be reached at spencer.johnson@intlfcstone.com.

Last week’s headline was aimed at bringing attention to the possibility that HRC prices could very well breach another important psychological level this winter at $400/ton. This week we can report some trades done for Nov/Dec at exactly that $400/ton level, but so far nothing trading below that, at least not yet. Here is how it looks compared to a week ago:

Spencer Johnson

A broker at FCStone LLC, Johnson is a veteran in the world of steel futures. He has worked with every type of market participant to formulate risk management and trading strategies for steel derivatives. StoneX has also worked tirelessly to grow liquidity and provide access to new ferrous markets for its clients. Johnson is in addition one of the longest serving members of the London Metal Exchange’s steel committee.

Spencer Johnson

Latest in Prices

Nucor increases spot HR by $10/ton

Plate supply squeeze tightens as demand presses higher

SSAB Americas hikes extras, doubles Grade 50 adder

Nucor Plate Group raises fuel surcharge to $20/ton for October

Nucor increases HR coil CSP to $1,200/ton