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    January 11, 2024

    HRC futures: Ferrous indexes do not reflect future price expectations

    Written by Jack Marshall

    After a holiday period that saw HR futures volumes somewhat muted in December, the first week of January brought with it increased interest reflected in higher volumes.

    The increased futures interest also brought additional volatility in futures along the curve. While the HR index the last four weeks has been fairly pegged at just shy of $1,100 per short ton (st), the futures curve experienced strong selling pressure in the nearer futures dates. For example, the settlements from Dec. 11, 2023, to Jan. 10, 2024, saw HR Feb’24 and HR Mar’24 futures decline by $156/st and $176/st.  

    Jakc Marshall, SMU Contrubutor

    Jack Marshall

    Jack Marshall has over 30 years of experience trading and marketing financial futures and swaps, including currencies. Before joining Crunch Risk in 2012, Marshall was responsible for Forex Origination for BofA Merrill Lynch in their Chicago office. For Crunch Risk, he focuses on Ferrous scrap futures and helps manage client communications. Marshall is a regular contributor to the Steel Market Update newsletter covering topics including steel and steel scrap futures. He is NFA registered Associated Person and holds a Series 3 license. Marshall can be reached at jack.marshall@crunchrisk.com.

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