Shifting Hot Roll Coil Prices In The U.S.
Increased availability of domestically-manufactured hot rolled coil steel has contributed to a fluctuation in prices for suppliers and buyers alike. Towards the end of August, the changes became apparent to multiple industry insiders.
These changes have prompted at least one supplier to take an extremely aggressive approach toward moving their HRC inventory. This is presumably a response to an unexpected increase in stock. However, new orders of HRC are beginning to decrease as well.
More than one mill executive, as well as one prominent buyer have agreed that $670/st appears to be the best price available. In fact, one source proclaimed that this may turn into a fixed rate for suppliers throughout the last quarter of the year. If nothing else, these prices will most likely roll into the month of September, moving forward.
On the flip side, prices for US-produced OCTG steel goods are anticipated to rise through the end of the year and into the first quarter of 2015. A dip is projected for Q2 of the new year. This is a result of a number of suppliers threatening to cancel orders from foreign mills if the newly established duties are not met. Without the potential influx of foreign OCTG, domestic suppliers are attempting to raise prices to meet demand.
Stay tuned to JD Fields for future updates.