US hot-rolled coil (HRC) prices continued to increase as tight supply kept market prices rising.
The Argus weekly domestic US HRC index increased by $30/st to $1,250/st ex-works Midwest this week. Lead times were flat at 7-8 weeks.
Prices rose on higher offers in the market.
Supply issues continued to dominate the market, with one service center reporting tighter than expected supply in April in their discussions with mills.
The US HRC price is nearly triple the low of $450/st recorded in mid-August, when prices dipped because of Covid-19-related demand declines.
The spread between #1 busheling scrap delivered US Midwest mills and HRC selling prices rose by 3.8pc to $810.27/st from $780.27/st the week before. The spread is more than double the $334/st recorded a year ago.
The domestic US cold-rolled coil (CRC) assessment increased by $16/st to $1,390/st, while the hot-dipped galvanized (HDG) coil assessment rose by $19/st to $1,385/st. Lead times for CRC fell to 9-10 weeks from 9-12 weeks, while HDG lead times shrank to 10-11 weeks from 9-12 weeks.
HRC import prices into Houston rose by $10/st to $1,000/st ddp. While offers were still out in the market, few seem keen to buy imported steel because of long lead times.
The CME HRC futures market jumped in the past week. For March, prices rose by $72/st to $1,209/st. April prices increased by $99/st to $1,140/st, while May futures prices jumped by $102/st to $1,060/st. June prices increased by $105/st to $994/st, while July prices rose by $91/st to $925/st.
Plate
The Argus weekly domestic US plate assessment was flat at $1,100/st with nor trades reported, while lead times fell to 6 weeks from 6-7 weeks.
