SMU Price Ranges & Indices: Is Market Bottoming?

There have been a lot of inquiries at the steel mills. The question is how do you get all of the end users who are looking to lock in “best buy” prices to do so. It seems everyone is waiting for prices to make a move so they can feel good about making a decision to buy and not get stuck with steel that cost too much. Timing seems to be everything which will make for an interesting scenario once the shoe falls and the market believes prices are moving in the opposite direction.

Not everyone is a believer that we are there. There are still cheap foreign offers out there on certain products from certain countries.

And then there is the persistent rumor of a trade case…

Here is how we see spot flat rolled prices this week (all prices shown are in net tons which are equal to 2,000 pounds):

Hot Rolled Coil: SMU Range is $435-$460 per net ton ($21.75/cwt- $23.00/cwt) with an average of $447.50 per ton ($22.375/cwt) FOB mill, east of the Rockies. The lower end of our range declined $5 per ton compared to last week while the upper end decreased $20 per ton. Our average is now $12.50 per ton lower compared to one week ago. SMU price momentum for hot rolled steel is for prices to move sideways to slightly lower over the next 30 days.

Hot Rolled Lead Times: 1-4 weeks.

Cold Rolled Coil: SMU Range is $540-$580 per net ton ($27.00/cwt- $29.00/cwt) with an average of $560 per ton ($28.00/cwt) FOB mill, east of the Rockies. The lower end of our range declined $20 per ton compared to one week ago and the upper end declined $20 per ton as well. Our average is now $20 per ton lower compared to last week. SMU price momentum on cold rolled steel is for prices to move sideways to slightly lower over the next 30 days.

Cold Rolled Lead Times: 2-6 weeks.

Galvanized Coil: SMU Base Price Range is $27.00/cwt-$29.00/cwt ($540-$580 per net ton) with an average of $28.00/cwt ($560 per ton) FOB mill, east of the Rockies. The lower end of our range was unchanged compared to last week while the upper end decreased $20 per ton. Our average is now $10 per ton lower compared to one week ago. SMU anticipates galvanized prices will remain steady to slightly lower over the next 30 days.

Galvanized .060” G90 Benchmark: SMU Range is $609-$649 per net ton with an average of $629 per ton FOB mill, east of the Rockies.

Galvanized Lead Times: 3-6 weeks.

Galvalume Coil: SMU Base Price Range is $27.50/cwt-$30.00/cwt ($550-$600 per net ton) with an average of $28.75/cwt ($575 per ton) FOB mill, east of the Rockies. The lower end of our range declined $20 per ton compared to one week ago while the upper end decreased $10 per ton. Our average is now $15 per ton lower compared to last week. Our expectation is for Galvalume prices to remain steady to slightly lower over the next 30 days.

Galvalume .0142” AZ50, Grade 80 Benchmark: SMU Range is $841-$891 per net ton with an average of $866 per ton FOB mill, east of the Rockies.

Galvalume Lead Times: 4-6 weeks.

SMU Note: Below is an interactive graphic showing our hot rolled, cold rolled, galvanized, and Galvalume price history. You can only view this interactive graphic when you are logged into the website and reading the newsletter there. If you need help navigating the website or need to know your login information, contact us at info@SteelMarketUpdate.com or by calling 800-432-3475.

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