Final Thoughts
April 29, 2016
Final Thoughts
Written by John Packard
Last year in conjunction with Steel Success Strategies I had a lunch with a number of steel buyers, executives and two derivatives traders (one being Andre Marshall of Crunch Risk, LLC). We all gave our opinions as to where we thought benchmark hot rolled coil would be by early June 2016 when we will return to New York City. Andre and I were the two most bullish out of the group, believing HRC would average $570 or higher. With the current average at $530 per ton (SMU) and with at least one mill (NLMK) offering $600 per ton hot rolled it appears we will make $570 before the end of May.
In an email exchange late last week Andre made some interesting observations and he agreed to let me share some of them with my readers:
