Final Thoughts

Final Thoughts
Written by John Packard
October 27, 2014
This is good. There is a debate going on within the industry regarding the need for a price increase and whether the customers (tail) are wagging the dog (mill).
One buyers ask SMU, “Knowing their history of lacking price discipline…taking advantage of their fear and uncertainty of not filling mill and talking the market down – or at least (mill name removed) down… Would think they [the mill] rather make stock items, or slow production rather than erode the entire market (says the ignorant service center guy).”
Now that AK Steel has announced +$20 the conversation has already started – too little, too early – are they talking out of both sides of their mouth (as buyers reported AK was looking for spot business earlier today)? Will the other mills follow? Will they raise the stakes?
What do you think? You can send me your thoughts on the subject to: John@SteelMarketUpdate.com.
We have a number of free trial and new members reading our newsletter these days. I want to welcome you and I want to point out a few things that you may not be aware of: We have a Twitter account which is found at @SMUsteel. We also have an active LinkedIn group which is conveniently called: Steel Market Update. We have a facebook page but I prefer to use LinkedIn as it is more business related than facebook.
We are placing a number of blog posts on our website that are not in our newsletters. Many times we get press releases, industry news from outside the United States that we think is interesting and instead of putting the information in our newsletter we place it on our blog.
To access the interactive graphics found in our newsletters and various sections of our website such as Historical Pricing or to access proprietary graphics and tables (such as Premium level imports by product, port & country) you need to be logged into the website. We also recommend reading the newsletter within the website rather than in your email. If you have any questions do not hesitate to contact our office: info@SteelMarketUpdate.com or 800-432-3475 and we will walk you through the process.
Our next Steel 101 workshop is coming up in January (20th and 21st) in Mount Pleasant, South Carolina (just outside of Charleston, SC) and at a hotel on the ocean. Details can be found on our website. The workshop will include a tour of Nucor Berkeley. Members receive discounts as part of the value to your subscription ($100 per person) and we have discounts for those companies who want to send more than one person (another $100 per person). Registration is open.
Tell your friends about SMU – referrals that turn into new business = $$ to the referring SMU member company…
As always your business is truly appreciated by all of us here at Steel Market Update.
John Packard, Publisher

John Packard
Read more from John PackardLatest in Final Thoughts

Final Thoughts
Despite some scary headlines lately (especially about Trump potentially firing Fed Chair Jerome Powell) this is not October 2008 (financial crisis) or March 2020 (onset of the pandemic). But it sure seems like we’ve taken a relatively strong economy and poured a thick sauce of uncertainty over it.

Final Thoughts
I put some of our survey data through ChatGpt, with interesting results.

Final Thoughts
Nearly 50% of respondents to our latest survey thought hot-rolled coil prices have already peaked. And where will those prices be two months from now? Responses were decidedly split on that question.

Final Thoughts
A modest week-to-week change in HR price understates a huge swing in expectations.

Final Thoughts
What happens when ChatGPT meets SMU's Market Chatter? No, this is not an idea for the latest Hollywood blockbuster. Then again, with what Hollywood is putting out these days, Chatter Meets Chat might just turn out to be a hit. Rather, it’s that old idea of putting theory into practice. Recently, I conducted an interview with Doug Schrock, managing principal of AI at public accounting and consulting firm Crowe. He gave some tips on how to implement AI into your business.