Steel Products Prices North America
June 27, 2019
Steel Buyers Skeptical About Price Increases
Written by John Packard
There seem to be more questions than answers regarding the move by the domestic flat rolled steel mills to increase spot base pricing on hot rolled, cold rolled, galvanized and Galvalume steels. The move was taken as the low end of the benchmark hot rolled steel base pricing was dipping below $500 per ton. The average price based on the Steel Market Update index was $520 per ton from Tuesday of this week, and new data suggests that number will dip once again next week as the steel mills take in orders on outstanding offers made prior to the increase announcements made by Nucor, UPI and NLMK USA.
Many steel buyers have expressed confusion as to why the domestic steel mills would have chosen this time to raise pricing. The steel buyers are wondering why the mills made this move prior to scrap being settled for the month of July (see scrap article in tonight’s issue).
