US hot-rolled coil index jumps over $1,190/t

Confirmed deals have driven hot-rolled coil prices in the United States over $59.50 per hundredweight ($1,190 per short ton), to an all-time high.

Fastmarkets’ daily steel hot-rolled coil index, fob mill US was calculated at $59.63 per cwt ($1,192.60 per ton) on Thursday February 11, up by 0.98% from $59.05 per cwt the previous day and 0.68% higher than $59.23 per cwt one week ago.

Inputs were received in a range from $58.00-62.50 per cwt, representing confirmed deals, mill offers and general assessments of spot market pricing levels. A transactional input was carried over within the producer sub-index to minimize day-to-day volatility.

Heard in the market
This marks the third time in a week that Fastmarkets’ hot-rolled coil index has set a new all-time high, after climbing to $59.23 per cwt on Thursday February 4 and $59.24 per cwt on Monday February 8, and sources do not expect the flat-rolled steel segment’s historic bull market to retreat any time soon.

Lead times have remained stable and supply continues to be restricted to an unprecedented degree, with activity in the automotive; heating, ventilating and air conditioning (HVAC); and non-residential construction segments still strong.

At the same time, the global shortage of computer chips has yet to dent steel demand from the automotive end market, sources said, while the arrival of imported flat-rolled steel expected in late spring will not be sufficient to ease the current shortfall or pressure domestic prices lower.

Quote of the day
“Supply is flat-out atrocious,” a consumer source said. “Demand is strong, and mills are still running two-plus weeks behind.”

What to read next
Steel trading and production have come to a halt in the eastern Turkish region of Iskenderun following a devastating earthquake that hit the region on Monday February 6 and put mills in the area under force majeure, sources told Fastmarkets on Tuesday
A 120-day closure of four Illinois dams scheduled for 2023 will disrupt barge shipments and have potentially both negative and positive impacts on scrap and finished steel products from Canada to Texas
Market participants are cautiously optimistic about a rebound in iron ore concentrate premiums, with steelmakers around the world set to ramp-up production in line with an anticipated increase in demand for steel products, Fastmarkets understands
General Motors (GM) is investing $650 million to develop the Thacker Pass mine in Nevada, the largest known source of lithium in the US and the third largest in the world
Electrolysis processes developed by Boston Metal and Electra that eliminate the need for coal in steel production could be key to a net-zero emissions future for the metallics industry, attendees learned at Fastmarkets’ conference on January 17-19 in Dallas
We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
Proceed