Prices
September 12, 2024
Written by Mark Novakovich
It had been a relatively quiet and steady CME HRC futures market since the end of August. That was upended by Thursday’s news that instead of a two-week maintenance outage, Cleveland-Cliffs would hot idle the C-6 blast furnace at its Cleveland Works for an uncertain period of time.
Nucor said on Monday, Oct. 19, that its consumer spot price (CSP) for hot-rolled (HR) coil will be $1,255 per short ton (st) this week, up $15/st from the prior week. The CSP for HR coil from California Steel Industries (CSI) on the West Coast will be $1,320/st, also up $15/st from last week. Nucor still offers lead times of three to five weeks, according to its letter to customers. You can track mill price announcements on our website.
The spread between domestic hot-rolled (HR) coil and prime scrap prices widened for the 13th consecutive month in October, hitting another multi-year high. SMU’s hot-rolled (HR) coil price stands at $1,280 per short ton (st) on average this week, up $10/st from last week and a $40/st increase from a month earlier. Meanwhile, busheling averaged $480 per gross ton (gt) in October, rising $12.50/gt higher from September.
Ferrous scrap prices rose in October as the market grew firmer, scrap sources said. “Overall, the main drivers of this October were strong US mill demand and order books, an export market that had risen over the course of September but has now pulled back slightly, and the season,” one source told SMU. He said at this time dealers and mills anticipate that scrap flows will begin to slow down moving into the end of the year.
US sheet and plate prices continued to march higher this week as a market squeeze that’s been in place for months now showed no signs of letting up. Market participants, some mostly focused on 2027 contract negotiations, said that it was increasingly difficult to even get a quote for spot tonnage from domestic mills, which firmly retain their grip on pricing power. SMU’s hot-rolled (HR) coil price stands at...
Several mills that bought October scrap early last week are still asking for additional supplies, scrap market participants said. The reason: the mills' initial prices did not attract enough of the raw material, they said. A trading source based in northern Ohio said three mills have contacted his firm seeking offers for additional tons. He said the mills asked for offers even if prices were higher than their original buys last week.