Steel Products

Notes from John Packard - SMU President & CEO
Written by John Packard
March 18, 2020
The new normal for me is talking to an industry executive on the phone and listening to the kids playing in the background….
We had a 45-point drop in both the Current and Future SMU Steel Buyers Sentiment Index this week (article is at top of tonight’s issue). This is the largest one-week change in the history of our index, which goes back to 2008 (see graphic below).
Two weeks ago I could sense the resistance to the virus and its impact on the United States. I received some negative comments on articles SMU was writing about what economists were forecasting and the possibility of a dramatic drop in the economy here in the United States. No one wanted to believe that the U.S. could have issues like what happened in China. This week the resistance has dropped, for several reasons: Automotive shutting down in Europe and the United States. People watching what is happening in Italy, and how closely the U.S. is mimicking the Italian trajectory of cases, which is worse than what happened in China. And the destruction of the stock market losing all of the “Trump bump” since he became president. Those who were resistant are now concerned. Those who were concerned two weeks ago are now anxious. Those who were anxious two weeks ago are now hunkered down in their homes, Face-Timing their parents and kids while trying not to listen to the news….
The problem is there are still many Americans who are in denial. You can see them on the beaches in Florida and elsewhere around the country. It is hard to accept that the world is a different place than it was just a short couple of months back.
I hope our articles on working from home are helpful to you and your company. If there is a subject you would like for us to address, please let me know by sending us an email: info@SteelMarketUpdate.com. We think of SMU as a provider of community information and a way for the industry to stay connected.
I want to thank the manufacturing company executives who responded to my inquiry earlier today regarding how they were preparing their facilities and employees for the fight against the COVID-19 virus, and if there were any plans to cease production. Getting early responses to these key questions is critical to those of you who service these industries, and to the steel-producing community which understands there most likely will be a disruption in their order books in the weeks and months to come.
If you would like information about how to renew, upgrade from Executive to Premium, add more subscribers or become a new subscriber, please contact Paige Mayhair at Paige@SteelMarketUpdate.com or by phone at 724-720-1012.
Our Aug. 24-26, the SMU Steel Summit Conference will have the strongest lineup of any conference we have ever hosted, or of any steel conference held in North America. We continue to take registrations with the knowledge that if we are forced to cancel, we will provide full refunds. You can find more information by clicking here or by going to www.SteelMarketUpdate.com/Events/Steel-Summit
As always, your business is truly appreciated by all of us here at Steel Market Update.
John Packard, President & CEO

John Packard
Read more from John PackardLatest in Steel Products

Atlas Tube debuts ‘HSS Connections Hub’
Atlas Tube, part of Zekelman Industries, has introduced an engineering resource aimed at simplifying Hollow Structural Sections (HSS) connection design for structural engineers and fabricators.

Nucor keeps HRC price unchanged
Nucor paused its weekly hot-rolled (HR) coil price this week, keeping it flat for the first time since Jan. 21. This comes after a nine-week rally that saw the company increase prices by double-digits for eight of those weeks.

Nucor increases plate prices by $40/ton
Nucor aims to increase prices for steel plate by $40 per short ton (st) with the opening of its May order book. The Charlotte, N.C.-based steelmaker said the increase was effective with new orders received on Friday, March 28, in a letter to customers dated the same day. The company said the price hike applied […]

US CRC price gains ground over imports
US cold-rolled (CR) coil prices increased again this week, while offshore prices declined.

SMU Steel Demand Index momentum slows
Steel Market Update is pleased to share this Premium content with Executive members. Contact info@steelmarketupdate.com for information on how to upgrade to a Premium-level subscription. Growth in SMU’s Steel Demand Index eased in March after reaching a four-year high in late February. Despite a moderate gain, the index remains in expansion territory. The Steel Demand […]