In the survey of US producers, distributors, traders, and end-users, 50% of those surveyed expected prices to remain flat, compared with 91% expecting increases in April, with 32% expecting prices to fall slightly in May with only 9% of participants bullish on prices for the month.
Most respondents attributed the stability in prices to decreasing scrap prices, but the Russian invasion of Ukraine and changes in the supply chain could add further volatility to pig iron imports later in the year, demand was also expected to remain strong in the near term. Service centers have been more actively inquiring in the spot market, but mills were still holding firm on offers.
"We are expecting to buy more steel month on month on stronger orders," a flats distributor said.
Steel flats and longs market participants continued to see tightening inventories month on month, with only 10% seeing a slight increase in inventories. This dynamic of the flats market has come as higher inventories were the main driver of the price decline that started in September 2021.
The daily TSI US hot-rolled coil assessment was steady for most of April, rising $50 by April 12, then falling slightly, last settling at $1,440/st May 3 as buyers held out for lower levels and await lower input costs, according to the Platts assessment from S&P Global, adding to now two consecutive months of rises.
Production of LME deliverable KAS-branded aluminium at Kazakhstan’s Eurasian Resources Group has reached the four-million-tonnes milestone
