Hot-rolled coil (HRC) steel futures are used as a hedging tool for producers and users of steel and provide an index-based price discovery mechanism. In addition, they:
Offer hedging opportunities throughout the steel supply chain, from steel mills to steel service centers, distributors, merchants, and end-users.
Reflect the growing use of index-based pricing in tandem with the increase in steel price volatility.
Provide price assessments based on actual spot transactions in the market, with all the data providers directly involved in buying and selling the relevant steel product on the spot market.
Things to know about the contracts:
Financially settled.
Based on the index price of US Midwest domestic hot-rolled coil steel.
Traded electronically only on CME Globex.
About HRC steel
Steel is one of the most ubiquitous commodities yet the hardest to set specifications and prices for. There is no single global price for steel since there are many different physical and chemical properties relating to steel and more than 3,500 finished steel products. This is primarily because steel is not an element on the periodic table, as is gold or copper, but an alloy of iron and carbon. Nearly all the world’s steel is a carbon-based alloy, comprising greater than 90% iron and less than 2% carbon, with the balance being made up of additives for strength and finish.
Below is a chart showing the forward curve for HRC, with an additional line showing the futures prices four weeks ago. There is also a tab to view the data behind this chart. This data is updated on Thursday evenings after daily prices have been finalized.
CME Hot-Rolled Coil Futures as of March 14 (final)
Date
Latest
Change
Previous
March 1, 2024
793
-20
813
April 1, 2024
851
-4
855
May 1, 2024
857
-29
886
June 1, 2024
850
-45
895
July 1, 2024
850
-40
890
August 1, 2024
850
-40
890
September 1, 2024
868
-22
890
October 1, 2024
850
-35
885
November 1, 2024
850
-35
885
December 1, 2024
850
-35
885
January 1, 2025
872
-36
908
February 1, 2025
867
-41
908
Date
Latest
Change
Previous
CME HRC Futures Forward Curve Chart
CME HRC Futures Forward Curve Table
CME HRC Futures Forward Curve as of March 14, 2024