Buyers and sellers of flat rolled steel continue to be optimistic regarding their company’s ability to be successful in the current market environment as well as out three to six months into the future. Steel Market Update reported their Sentiment Index as +64 on Thursday, October 9th. The + 64 reading is unchanged from their […]
On Monday of this week, SMU began our early October flat rolled steel market survey. Invitations were sent to approximately 600 companies across the United States and Canada. The survey was concluded earlier today (Thursday). One of the key focus areas for the survey is to discover if there are any changes in lead times […]
Based on the responses received from our SMU flat rolled steel survey conducted this week, we have learned that the domestic steel mills have become more willing to negotiate flat rolled steel prices than they were in mid-September. We also learned the mills are more willing to discuss pricing than they have been going back […]
The Steel Market Update Price MoMo Index for flat rolled steel in the U.S. indicates hot rolled coil price momentum fell this week for the seventh week in a row. MoMo, which is a trailing indicator, is measured as a percentage and shows the relation of the current hot rolled coil (HRC) price movements against […]
The following article was written by John Packard, founder and publisher of Steel Market Update and an active steel salesperson for 31 years within the flat rolled steel industry. Packard’s experiences include 20 years of service center sales and management experience, 10 years of domestic steel mill sales experience (as an agent) and 6 years […]
Our Price Momentum Indicator has been stuck in “Neutral” since the last day of June 2014. We are now entering our 4th month and hot rolled steel prices have barely budged from the center line (OK, there have been some mild gyrations but no clear cut path up or down during the past three months). […]
One of the first things that we noticed when looking at the graph below is all of the “neutral” arrows (yellow arrows in SMU Pricing Momentum) going across the full spectrum of the table shown. We went back to see at what point did we move our Momentum to Neutral and found we made the […]
The Steel Market Update Price MoMo Index for flat rolled steel in the U.S. showed hot rolled coil price momentum falling this week for the sixth week in a row after being in positive territory for the previous four weeks. MoMo, a trailing indicator, is measured as a percentage and shows the relation of the […]
The Steel Market Update Price MoMo Index for flat rolled steel in the U.S. showed hot rolled coil prices as falling this week for the fifth week in a row after being in positive territory for the previous four weeks. MoMo, a trailing indicator, is measured as a percentage and shows the relation of the […]
The following article was originally published in our Premium edition of Steel Market Update last week after the MSCI shipment and inventory data was released. Service Center Apparent Inventory Deficit/Excess is one of the proprietary products available for our Premium Level customers. We thought our Executive customers might be interested in how our forecast did […]
Based on the results from our most recent Steel Market Update steel market analysis, flat rolled steel mill lead times, the number of weeks needed to produce and ship a new order, remained above 2013 levels on all products. SMU conducted one of our twice monthly steel market surveys this past week. During the process […]
Flat rolled steel mills continue to negotiate pricing on hot rolled, galvanized and Galvalume products and less enthusiastically on cold rolled, according to our latest flat rolled steel market analysis conducted this past week. Galvanized continued as the product manufacturing companies and service centers were reporting where prices were negotiable gathering 68 percent of the […]
The following is part of a series of articles Steel Market Update has been producing on the subject of steel sales. The series is called: The Truth About Selling Steel and today, with the help of John Temples, we are going to introduce communication and engagement. In the coming weeks we will expand upon our […]
The following articles are for our Premium level customers. Thank you again for your business. We also want you to know that the latest imports by product, port and country are in the website (must be logged in as Premium customer in order to access the data) as is our latest Survey data which was […]
Steel Market Update nailed (in our opinion) last month’s forecast for August. We projected that the -193,000 tons deficit from the end of July (based on our proprietary formula for what a balanced flat rolled inventory level should be for the U.S. service centers) would be eliminated and move into a very small excess situation. […]
Buyers and sellers of flat rolled steel are becoming more optimistic about their company’s ability to be successful based on current market conditions according to Steel Market Update and their Steel Buyers Sentiment Index. SMU Steel Buyers Sentiment Index rose to +64 or +11 points higher than where it was measured during the beginning of […]
The Steel Market Update Price MoMo Index for flat rolled steel in the U.S. remained negative this week for the fourth week in a row after being in positive territory for the previous four weeks. MoMo, a trailing indicator, is measured as a percentage and shows the relation of the current hot rolled coil (HRC) […]
Spot prices remained stable this week as steel buyers wait to see how the absorption of Severstal by AK Steel and Steel Dynamics will affect the marketplace. It is anticipated that it could take 3-4 weeks before we get a clear indication as to how the commercial departments for each mill will integrate the former […]
After setting a record optimistic high of +68 at the beginning of August 2014, SMU Steel Buyers Sentiment Index has now declined for the second time and stands at +53. The most recent measurement is still well within the optimistic parameters for our index. Even so, we are concerned with the 15 point dip that […]
Flat rolled steel mill Lead times remained relatively stable compared to those reported during the middle of August. However, when compared to the lead times reported in early September 2013 we are finding the latest lead times to be slightly extended. Hot rolled lead times are averaging 4.37 weeks based on the responses received in […]
Steel Market Update conducted one of our flat rolled steel market surveys this past week. One of the key questions asked during the survey process is regarding the willingness of the domestic flat rolled steel mills to negotiate spot pricing. In last week’s survey our respondents reported a jump in the percentage reporting the steel […]
An explanation of the Key Indicators concept is given at the end of this piece for those readers who are unfamiliar with it. The total number of indicators considered at present is thirty five, the Chicago Fed Mid-West Manufacturing Index is still on hold to enable the staff to complete a major re-vamp of the […]
The following is a recap of the data compiled during the month of August 2014. For the second month in a row our SMU Price Momentum Indicator remained at Neutral as steel prices have been relatively stable with the $673 average up $6 from the July average. However, by the end of the month our […]
The Steel Market Update Price MoMo Index for flat rolled steel in the U.S. turned negative this week after being in positive territory for the previous four weeks. MoMo, a trailing indicator, is measured as a percentage and shows the relation of the current hot rolled coil (HRC) price movements against the previous 12-week average […]
When I think about selling steel what I am actually doing is thinking about the sales process. The process is the various steps needed to identify, qualify, quantify, engage and close business with any prospective account. Successful salespeople, no matter what the industry or product, understand the various steps that they follow as they pursue […]
SMU Steel Buyers Sentiment, which measures how buyers and sellers of flat rolled steel feel about their company’s ability to be successful in the current market environment, continues at very optimistic levels. However, our Index has seen some erosion of enthusiasm as our Index has dropped 9 points since we recorded our record high of […]
Both manufacturing companies and service centers reported similar results regarding the status of spot pricing out of the distributors into their end user customers. Manufacturers reported distributors spot pricing as being either stable (no change) which gathered 73 percent of the responses or rising which attracted 23 percent of those manufacturing companies who responded to […]
Average mill lead times declined ever so slightly across all of the flat rolled steel products being watched by Steel Market Update. We have seen lead times bouncing within a relatively narrow range over the past couple of months as we continue to see a stable market. Hot rolled lead times averaged 4.30 weeks down […]
Based on our latest Steel Market Update analysis of the flat rolled steel markets, we are learning that the domestic steel mills were more willing to negotiate galvanized and Galvalume pricing than hot rolled and cold rolled steel pricing. The largest movement we saw was on Galvalume where 64 percent of our respondents reported the […]
The Steel Market Update Price MoMo Index for flat rolled steel in the U.S. remained positive this week for the fourth consecutive week after being in negative territory for the prior six weeks. MoMo, a trailing indicator, is measured as a percentage and shows the relation of the current hot rolled coil (HRC) price movements […]