Lead times for spot orders of flat rolled steel saw minor and inconsistent changes in the past two weeks, revealing no clear trend. Hot rolled lead times extended slightly, while lead times for cold rolled and galvanized were flat and plate lead times declined, according to Steel Market Update’s check of the market this week. Lead times […]
The vast majority of steel buyers responding to Steel Market Update’s market trends questionnaire this week report that mills are willing to compromise on price to win orders as the economy and steel demand continue to battle the effects of the coronavirus crisis. About 86 percent of hot rolled buyers said the mills are open […]
While industry sentiment improved at a double-digit rate in May, as measured by Steel Market Update’s Sentiment Indexes, June has seen more moderate changes in optimism. Current Sentiment increased by a further 7 points in the past two weeks, but Future Sentiment actually declined by 3 points. This leveling of sentiment most likely reflects ongoing […]
Lead times for spot orders of hot rolled steel have shortened a bit in the past month, which is somewhat unexpected, while delivery times for other flat rolled products have seen small ups and downs as the market searches for a stable footing. Hot rolled lead times now average 3.59 weeks, down from 3.73 two […]
Steel demand is slowly improving as the economy moves on from the coronavirus shutdowns, but the environment remains very competitive, and buyers report that most mills are willing to negotiate on price to win orders of flat rolled steel. Steel prices have moved up erratically since hot rolled bottomed at $460 per ton in late […]
Flat rolled steel price momentum, for spot pricing out of the domestic mills, continues to be in transition, and the SMU Price Momentum Indicator is at Neutral. Neutral means spot mill pricing could go in either direction over the next 30 days. However, SMU and our parent company CRU have both been reporting lower spot […]
Flat Rolled = 67.6 Shipping Days of Supply Plate = 61.0 Shipping Days of Supply Flat Rolled Service center flat roll inventories edged down in May, which was consistent with lower on-order volumes seen in April as well as higher shipments in May. Service centers carried 67.6 shipping days of supply at the end of […]
Flat Rolled = 62.5 Shipping Days of Supply Plate = 58.7 Shipping Days of Supply Flat Rolled Service centers reduced their flat rolled supply to 62.5 shipping days of supply at the end of June, from 67.6, according to adjusted data. In terms of months on hand, June inventories represented 2.84 months of supply, down […]
Steel buyers’ attitudes, as measured by Steel Market Update’s Sentiment Indexes, have improved steadily since their low point in the first week of April and are now approaching pre-coronavirus levels once again. Industry executives are clearly feeling more positive about their prospects as the economy begins to normalize. Current Sentiment has improved by 40 points […]
Steel demand is on the upswing three months after being decimated by government orders to shut down nonessential businesses and stop the spread of COVID-19. The majority of steel buyers (53 percent) responding to Steel Market update’s market trends questionnaire this past week said they are seeing improvement in demand for their products. Another 38 […]
Lead times for spot orders of flat rolled and plate steels have extended in the past four weeks as demand has picked up and mill production has come down. In response to the COVID-19 shutdowns of nonessential businesses in March, steel producers idled furnaces to sync their output with demand. Lengthening lead times this week […]
After a brief period in which the mills tried to hold the line following their price increase announcements in May, negotiations have swung once again in buyers’ favor. Seven out of 10 buyers responding to Steel Market Update’s questionnaire this week said the mills are willing to negotiate on price to win orders of hot […]
Steel buyers’ attitudes appear to be mirroring the economy—improving in painfully slow increments as coronavirus restrictions ease and more companies get back to work. Both Current and Future Sentiment as measured by Steel Market Update saw a 14-point improvement in the past two weeks and are up more than 30 points from the lows recorded […]
Domestic steelmakers raised prices twice during the month of May, by a total of $90-100 per ton, hoping to establish a floor and set the stage for recovery in anticipation of improving demand as coronavirus restrictions ease in June and July. Service center and manufacturing executives responding to Steel Market Update’s market trends questionnaire this […]
Lead times for spot orders of flat rolled and plate steels extended during the month of May following steady declines in April as demand suffered from the government shutdowns of nonessential businesses to stem the spread of COVID-19. Lead times for steel delivery are a measure of demand at the mill level—the longer the lead […]
Negotiations between producers and buyers of flat rolled and plate steels have continued to tighten following two price increase announcements by the mills in May. However, the majority of buyers responding to Steel Market Update’s canvass of the market this week say the mills are still willing to talk price to secure orders, given the […]
Good steel buyers know everything is negotiable. They understand market momentum, the strengths and weaknesses as well as the needs of their suppliers, as being key ingredients to getting the best steel pricing for their company. Good buyers know the power of the relationships built with their suppliers. They know contract negotiations are different than […]
Steel demand is showing early signs of strengthening, said manufacturing and service center executives during Steel Market Update’s canvass of the market May 11-14, as officials in various states begin to ease coronavirus restrictions allowing businesses to slowly reopen. Half said demand for their products is stable or even improving, while the other half said […]
Steel buyers’ attitudes have improved this month as coronavirus restrictions have eased in some areas and companies have begun to get back to business. Steel Market Update asked steel buyers how they view their company’s current prospects for success, as well as their chances for success three to six months in the future. The Current […]
We had to change the way we calculate the adjusted data, which will also change how we derive our analysis. Previously, we adjusted the data to mirror the exact mix of service centers that responded to the previous month’s survey. We saw a decrease in participation in the March survey, which we can understand given […]
Lead times for spot orders of flat rolled steel extended slightly this week after declining since mid-March when the government ordered the closing of nonessential businesses to stop the spread of the coronavirus. Lead times for steel delivery are a measure of demand at the mill level—the longer the lead time, the busier the mill. […]
Negotiations between producers and buyers of flat rolled steel have tightened somewhat following the price increase announcements by the mills earlier this month. Steel Market Update’s canvass of the market this week shows that mills are slightly less likely to negotiate on price than they were in April when competitors were scrambling to win orders […]
Having lived through the difficult month of April, steel buyers remain pessimistic about current business conditions, but more hopeful about the future. Steel Market Update asked steel buyers how they view their company’s current prospects for success, as well as their chances for success three to six months in the future. The Current Sentiment reading […]
Today, Steel Market Update adjusted our flat rolled Price Momentum Indicator to Neutral. We are of the opinion, based on intelligence we are gleaning from steel buyers, that steel prices are in transition. We no longer believe prices on hot rolled, cold rolled, galvanized and Galvalume will decline over the next 30 days. However, a […]
Lead times for spot orders of flat rolled and plate steels declined sharply in April. Lead times ranged from a half-week to a full week shorter at the end of the month than they did at the beginning, depending on the product, according to Steel Market Update’s latest market trends questionnaire. Lead times for steel […]
On Monday of this week, Steel Market Update began canvassing the markets as we conducted one of our flat rolled and plate steel market trends suveys. The vast majority of the responses were received early in the week and the results of those responses are presented below. However, SMU continued to speak directly to both […]
Companies are being affected to varying degrees by the coronavirus depending on their market and geography, so it’s no surprise their opinions range widely on how long it will take business to return to pre-COVID levels. Some hope for activity to rebound as soon as this summer, while others fear it won’t be until next […]
Steel Buyers Sentiment remained in pessimistic territory in mid-April as steel demand was stifled by the government restrictions on commerce to control the spread of COVID-19. Future Buyers Sentiment was notably more optimistic, however, which suggests service center and manufacturing executives anticipate better days ahead. Steel Market Update asked steel buyers how they view their […]
Last week, Steel Market Update conducted an analysis of the flat rolled and plate steel markets as we reached out to more than 500 individuals uniquely qualified to provide insights into these markets. What we found is an almost universal picture of a steel economy in a tailspin. Through our steel survey, SMU has seen […]
Last week, Steel Market Update conducted an analysis of the flat rolled and plate steel markets as we reached out to more than 500 individuals uniquely qualified to provide insights into these markets. What we found is an almost universal picture of a steel economy in a tailspin. Through our steel survey, SMU has seen […]