After a brief hesitation early in the month, mill lead times for spot orders of flat rolled steel have continued to increase. The latest data shows slightly longer lead times for all flat rolled products except for Galvalume. Plate lead times have extended, as well. Lead times for steel delivery are a measure of demand […]
Negotiations between steelmakers and steel buyers continue to tighten. Responses to Steel Market Update’s market trends questionnaire this week indicate the mills are slightly less flexible on price for most products as they work to collect four increases announced since late October totaling $150 per ton. In the hot rolled segment, the majority of buyers […]
Steel Market Update conducts two flat rolled and plate steel market trends surveys every month. Our early December analysis indicates the flat rolled distributors are raising spot prices to their end-user customers, and in the process supporting at least a portion of the four recent price increases totaling $150 per ton ($7.50/cwt). Whether the mills […]
Whether mills succeed in raising spot prices depends in large part on the support they receive from distributors. The latest Steel Market Update data from service centers, verified by data from their customers, indicates that steel prices have maintained their upward trajectory into the new year and show no signs of slowing. As indicated by […]
Steel Market Update’s analysis of flat rolled and plate inventories and shipments for the month of November: Flat Rolled = 51.1 Shipping Days of Supply Plate = 56 Shipping Days of Supply Flat Rolled Sheet steel inventories increased in November, and the SMU Service Center Inventories Report shows that service centers have an abundance of […]
Steel buyers sentiment, which had been trending up for the past several weeks right along with steel prices, showed the first signs of leveling off this week. Both the Current and Future Sentiment readings had only a 1 point change in the latest data. The goal of the index is to measure how buyers and […]
Mill lead times for spot orders of flat rolled steel may be starting to level out after lengthening week after week since early November. The latest data shows slightly longer lead times for cold rolled and galvanized products, but slightly shorter lead times for hot rolled, Galvalume and plate. Lead times for steel delivery are […]
As flat rolled steel prices rise, it comes as no surprise that negotiations between mills and steel buyers continue to tighten. Responses to Steel Market Update’s market trends questionnaire this week indicate that mills are less flexible on price as they work to collect three increases announced since late October totaling $110 per ton. In […]
This report is designed to be a big picture summary of data SMU has reported in detail during the month. It summarizes 36 data streams that describe the state of the steel market and provide forward guidance for steel buyers and sellers. See the end of this piece for an explanation of the Key Indicators […]
Last week Steel Market Update conducted our mid-November flat rolled and plate steel market analysis. We invited 480 individuals involved in manufacturing, service centers, steel mills, trading companies and toll processors to participate in our questionnaire. On purpose, the survey is heavily weighted to manufacturing companies and service centers since they purchase the vast majority […]
Steel buyers’ sentiment has been trending up for the last six weeks along with steel prices, which is a positive development. But like the prices, sentiment has yet to really take off and prove it has sustained strength, according to Steel Market Update’s latest Steel Buyer’s Sentiment Index. The goal of the index is to […]
Pricing from the mills is considerably tighter than it was a month ago, when virtually every deal was open to negotiation. Yet Steel Market Update data indicates the flat rolled mills are still surprisingly flexible when it comes to spot prices even as they work to collect two $40 price increases announced in the past […]
Mill lead times for spot orders of flat rolled steel have lengthened by roughly a week following the mills’ price increase announcements over the past month. Lead times for steel delivery are a measure of demand at the mill level. Thus, this data indicates the mills have gotten busier as buyers step up to place […]
Using U.S. International Trade Commission (USITC) data, Steel Market Update has taken the import tonnage of cold rolled sheet and broken it down into coil and leveled; then it breaks out four thickness ranges and identifies how much was full hard, annealed and high strength. Through September 2019, of the total cold rolled sheet and […]
Steel Market Update’s analysis of flat rolled and plate inventories and shipments for the month of October: Flat Rolled = 53 Shipping Days of Supply Plate = 57 Shipping Days of Supply Flat Rolled Sheet steel prices declined rapidly throughout October, and the SMU Service Center Inventories Report shows that service centers pared down inventories […]
Flat rolled steel prices are on the way up following two recent rounds of price increases. Steel Market Update has been anticipating the turnaround in prices as the market has been near the point of “capitulation” for several weeks. Capitulation is the point when 75 percent or more of our service center survey respondents are […]
Although too early to be called a trend, the latest readings in Steel Market Update’s Steel Buyer’s Sentiment Index show a slight uptick in optimism following recent price increase announcements by the mills. The goal of the index is to measure how buyers and sellers of steel feel about their company’s ability to be successful […]
Not surprisingly following the mills’ $40 price increase announcements Oct. 24-25, negotiations between steelmakers and steel buyers have tightened somewhat. What is surprising is that roughly two out of three buyers still report mills actively negotiating spot prices on hot rolled, cold rolled and galvanized, as well as plate. In the hot rolled segment, 62 […]
Mill lead times for spot orders of flat rolled showed early signs of lengthening in the first week of November following the $40 per ton price increase announcements Oct. 24-25. Lead times for steel delivery are a measure of demand at the mill level. Thus, this data suggests the mills are getting busier as buyers […]
This report is designed to be a big picture summary of data we have reported in detail during the month. It summarizes 36 data streams that describe the state of the steel market and provide forward guidance for steel buyers and sellers. See the end of this piece for an explanation of the Key Indicators […]
Steel Market Update’s Current and Future Buyers Sentiment Indexes inched up a few points this week, but remain near their lowest levels in six years. The goal of SMU’s Buyers Sentiment Index is to measure how buyers and sellers of steel feel about their company’s ability to be successful today (Current Sentiment Index), as well […]
Steel Market Update’s negotiations data showed just a hint of tightening in price talks between the mills and their customers this past week, perhaps in anticipation of the $40 price increase on flat rolled steel announced by the mills on Thursday and Friday. The data, gathered by SMU prior to the price increase announcements, shows […]
Mill lead times for flat rolled products continued to shorten slightly over the past few weeks. The average lead time for hot rolled is now down to three and a half weeks, cold rolled is less than five and a half weeks and coated steels are just six weeks. Plate lead times remain around four […]
ArcelorMittal USA announced a $40 per ton ($2.00/cwt) price increase today, which is in line with our expectations that an increase was inevitable based on comments from service centers and manufacturing companies responding to our flat rolled steel market trends questionnaires over the past few weeks. By the end of the day, NLMK USA had […]
The official economic statistics out of China show a decline in GDP to a level slightly lower than the depths of the global recession in 2009. China’s share of global steel production was 55.9 percent in August. Once each quarter we publish the official statistics for Chinese GDP, industrial production, consumer price inflation and fixed […]
Except for a brief uptick this summer, steel prices have been on the decline since March and breached the $500 per ton level in mid-October—a psychological line in the sand that leaves steel buyers wondering: Have prices hit bottom? Is it time to replenish inventories? Flat rolled steel prices took a steep dive last month, […]
Except for a brief uptick this summer, steel prices have been on the decline since March and breached the $500 per ton level this month—a psychological line in the sand that leaves steel buyers wondering how much further prices can slide. Steel Market Update estimates the average price for hot rolled is now down to […]
Steel Market Update has to admit 2019 has been an unusual year as we have seen two “dead cat bounces” already and we may be about to live through a third in the coming weeks. Why do we believe flat rolled prices are about to reverse course? Because of the data we have been gathering […]
Steel Market Update’s analysis of flat rolled and plate inventories and shipments for the month of September: Flat Rolled = 49.9 Shipping Days of Supply Plate Steels = 52.1 Shipping Days of Supply (48.2 adjusted) Flat Rolled Service center inventories of flat-rolled steel dropped significantly in September, which the decrease in on-order volumes in August […]
Steel Market Update’s Buyers Sentiment Index declined again this week to its lowest levels since 2013. Both Current and Future Sentiment have been trending steadily downward since April. The Current Sentiment reading of +26 is half the +52 recorded just one month ago and more than 40 points below levels at this time last year. […]