Steel Market Update received information from the last couple of mills missing from our galvanized coating extras analysis and we wanted to make sure that everyone gets to see the finished product. This analysis is also on our website and can be found under the Resources tab (Resources > Steel Mills > Galvanized > Coating […]
A quick note about our galvanized index: Effective today we are adjusting the coating extra being used on our .060” G90 galvanized benchmark items from $69 per ton to $78 per ton. We are continuing to use the US Steel extra for guidance. So, the change that you see in our G90 item is a […]
Flat rolled steel prices are reacting to the two $30 per ton price announcements made by the domestic steel mills over the past month. The culprit (or scapegoat depending on your perspective) has been the rapid rise in ferrous scrap prices which are the primary inputs for electric arc furnace (EAF) steel mills and is […]
The election of President Donald Trump uncovered a wound that has been festering for many years with both Democrats and Republicans in the White House. At the recent Fabricators & Manufacturers Association, International (FMA) annual meeting, Dr. Chris Kuehl of Armada Corporate Intelligence had this to say about the Obama Administration, “The frustration was we […]
We are five and a half months (5.5) or 166 days away from the opening of our 7th SMU Steel Summit Conference in Atlanta, Georgia. We went over 100 registrations today and we expect 500+ registrations when we get into the month of August. There are four companies that we know of that will be […]
Twice per month, Steel Market Update conducts a detailed analysis of the trends impacting the flat rolled steel markets. We issue over 670 invitations to people associated with manufacturing, distribution, steel mills, trading companies and toll processors to assist us in our analysis. We finished conducting our early March research on Thursday of this past […]
Flat rolled prices have begun to move higher based on the most recent analysis of the steel price indexes from last week that are followed by Steel Market Update (SMU). Benchmark hot rolled prices were up $10 per ton on our own index while Platts took their average up $7.50 per ton by the end […]
Most of the flat rolled steel mills have made changes to their zinc coating extras to either be effective immediately or by the beginning of April 2017. The new extras replaced those that became effective November 2016 through January 1, 2017. The extras were raised due to the increasing cost associated with zinc purchases needed […]
Total foreign steel imports for the month of January were announced this past week by the U.S. Department of Commerce. Imports totaled 2,814,081 net tons or about 120,000 tons more than December and slightly above the twelve month and three month moving averages. At the same time license data was updated for February imports and […]
The scrap market created a lot of buzz over the past two months that resulted in, so far, two domestic steel mill price increases totaling $60 per ton ($3.00/cwt). I got a note over the weekend from one of the national companies who told me about the scrap markets, “There is a sense the market […]
On Wednesday, Nucor Sheet Group announced a $30 per ton ($1.50/cwt) price increase on hot rolled, cold rolled and galvanized steels. The base price increase was to take effect immediately and was the second $30 per ton increase announced since the beginning of the New Year. Since October 21, 2016 Nucor has made six price […]
Optimism reigns supreme within the steel community and those responsible for buying and selling flat rolled steel products. The SMU Steel Buyers Sentiment Index set new record highs for both Current and Future Sentiment indices. Buyers and sellers of flat rolled steel set a new record high for a single data point at +77 for […]
Hot rolled average lead times remain extended at 4.38 weeks compared to the 3.79 weeks SMU was reporting one year ago. Cold rolled, galvanized and Galvalume lead times were running close to or just below last year’s reported average. Lead time is the average amount of time it takes for a new order of a […]
Flat rolled steel mills have become less enthusiastic about negotiating prices for new orders of hot rolled, cold rolled, galvanized and Galvalume steels. Based on the results of the flat rolled steel market trends analysis coming out of the survey we have been conducting over the past four days. We found 33 percent of the […]
During one of the breaks from the FMA/ASD/Tolling Processing meetings I am attending in New Orleans, I met with the head of commercial for one of the domestic steel mills. We had an interesting conversation about the negativity in the market not being backed up by actions. He was telling me that a number of […]
Flat rolled steel prices firmed a little with benchmark hot rolled up $10 and cold rolled the same. Galvanized price average remained the same and Galvalume was up $5 per ton. We heard from a number of steel buyers that they were waiting to see what was going to happen with scrap prices (expectation was […]
Flat rolled steel order books have been helping push ferrous scrap prices higher for March delivery to the domestic steel mills. Steelmakers have paid $50 to $80 per gross ton higher prices than February for prime grades such as busheling and bundles. Sheet mills pushed their buying prices in order to get the supply of […]
Scrap prices moved higher as scrap dealers and the domestic steel mills finished their March negotiations. With prime grades of scrap settling at about twice the $30 per gross ton originally thought a couple weeks ago, the sheet mills have got a decision to make. Do they take prices up or have they raised prices […]
The following analysis of the steel markets in China is from Beijing Metal Import & Export Co.,Ltd and is being reproduced by Steel Market Update with permission. We edited the original copy to assist our readers in understanding what the group is trying to relay to us. Here is what they had to say (edited […]
On Friday of last week Nucor Plate Mill Group announced a $30 per ton price increase on carbon and alloy plate and $50 per ton on heat-treated plate. The increase was to be effective immediately. Today, ArcelorMittal USA also followed the Nucor lead with an increase of their own. A Nucor plate customer told SMU […]
Steel Market Update recently published a “letter to the editor” regarding the domestic mills need to compete in a world market. We received comments from a mill based source who asked they not be identified. The original letter is below with the response being the “bold” print below: I guess it’s fine for the US […]
Just to make sure that everyone saw this: SMU received a note from a Nucor spokesperson that their Louisiana DRI facility would be back up later this week, “Repairs at our Louisiana DRI plant are ahead of schedule and we plan to restart the plant this week. An equipment failure resulted in the need to […]
Flat rolled steel prices rose this past week on every item with the exception of the SteelBenchmarker hot rolled index. Steel Market Update (SMU) saw benchmark hot rolled as up $25 per ton to $625 per ton. Platts moved up $5 per ton to $630 per ton and SteelBenchmarker, who reports prices twice per month, […]
I decided to add the Key Market Indicators to tonight’s issue of Steel Market Update because I have been bullish on the steel industry and the report, which is normally shared with our Premium members only, has some good data in it explaining why I am optimistic. Please take a few minutes to review and […]
We are still early in the negotiation process for ferrous scrap pricing for the month of February. The expectation is for much higher than originally thought (sideways to +$30) a couple of weeks ago. SMU scrap sources are advising the Detroit market settled today at up $40 per gross ton on obsolete and shred grades […]
Steel Market Update received the following “Letter to the Editor” from a reader who in the past has been associated with companies supplying products to the domestic steel mills. With all of the articles being written about the industry from President Trump’s point of view we thought it a good idea to air a different […]
On Tuesday, the U.S. Department of Commerce released Preliminary Census Data for January showing steel imports were just shy 2.8 million net tons for the month (2,769,215 tons). The February license data, which was also updated through the last day of February was down slightly from the January levels at 2,614,907 net tons. Of interest […]
I did a whirlwind trip to Philadelphia along with John Eckstein, one of our Steel 101 instructors, for a speaking engagement with a manufacturing company in the area. We provided a hybrid Steel 101/Steel Market Update presentation to a small group of executives. More and more this is something I am being asked to do […]
Steel Market Update (SMU) has adjusted our Price Momentum Indicator to reference spot prices as moving higher from this point over the next 30 days. Our decision to move our indicator is due to the continued high prices for steel mill inputs, such as 62% Fe iron ore fines in China being sold at $91.50/dmt […]
Flat rolled steel prices are starting to react to the price increase announcements made last week. We saw a large bump in the hot rolled price average while cold rolled, galvanized and Galvalume increases were a tad muted in comparison. Here is how we see prices this week: Hot Rolled Coil: SMU Range is $610-$640 […]