As the month of February comes to a close our SMU Price Momentum Indicator reverted to “Higher” from “Neutral.” However, we should be aware that the vast majority of the month saw our Price Momentum Indicator at “Neutral.” The SMU Steel Buyers Sentiment Index continued to show strength both as single data points as well […]
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 […]
For those of you interested in attending our April Steel 101 workshop in Toledo, Ohio we have sold out and we have people already on a waiting list. We are planning on a late spring/early summer workshop and I hope to have details up as soon as we have concluded our negotiations with one of […]
The rumors about March ferrous scrap prices have been flying ever since prices rebounded early in February from the initial down $10-$30 per gross ton we saw in the early negotiations. As the month of February continued scrap prices rebounded and, in some cases, returned to levels seen in January. As we prepared for March […]
A number of steel mills increased flat rolled steel prices, or provided price guidance higher than what was being collected in the spot markets, this past week. Steel buyers are telling SMU that there is a good chance the erosion of steel prices will cease because of these moves by the domestic steel mills. Steel […]
We are moving into another exciting week for the flat rolled steel industry. Ferrous scrap negotiations will begin this week and how they are resolved will determine whether flat rolled steel prices roar higher from here or wander around looking for a soft landing. We will be watching and listening for clues about scrap prices […]
If at first you don’t succeed, try, try again. On Monday Nucor began the flat rolled steel price increase announcement train as they, and just about every other flat rolled mill in the United States, came out with a $30 per ton increase. Steel buyers, however, were confused as to where spot base prices were […]
February 2017 steel import licenses are suggesting that foreign steel imports will be markedly higher than February 2016. Last year the U.S. imported 2.2 million tons of foreign steel. Right now, based on import licenses collected through February 21, 2017, the trend is for imports to reach 2.6 to 2.7 million net tons. This would […]
On Wednesday, February 22, 2017, California Steel Industries (CSI) sent a letter to their customers advising them of their intention to adjust their extras used when pricing galvanized steels in various thicknesses and coating weights. LME Zinc pricing has been on a tear over the past year as it has moved from $0.80 per pound […]
Market segments tend to run in cycles and rarely are all segments clicking at the same time. A good example is during the Great Recession, which crushed most steel consuming market segments, we learned through Priefert Manufacturing that farm, ranch and rodeo equipment were quite strong. As the economy improved cycles shifted and over the […]
Scrap, scrap, scrap, scrap and scrap…that is what everyone is going to be talking about for the next week to ten days. David Feldstein in tonight’s HRC Futures article suggested prime grades could go higher in March by as much as $80 per gross ton. I have read articles that suggest the numbers could be […]
We had three price announcements and at least one verbal announcement on flat rolled steel since the week began. Everyone is wondering if the other steel mills will follow and what will the base prices be when the dust settles? Based on what we have been hearing from steel buyers today, the suggested minimum base […]
Three mills have made price increase announcements of $30 per ton on all flat rolled products produced by those mills. The three mills are Nucor, NLMK USA and USS/POSCO (UPI) on the West Coast. On Monday morning Nucor made it official and was the first mill to announced a $30 per ton ($1.50/cwt) price increase […]
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 […]
Late last week the MSCI released their service center shipment and inventories data. Steel Market Update (SMU) provides detailed articles to both our Executive and Premium members about the MSCI data. One of the special articles we do for Premium only customers is our Service Center Flat Rolled Inventories Apparent Excess/Deficit model. This is a […]
Galvanized steel buyers need to remain aware of the movement in zinc pricing. With the strike at the zinc-processing facility in Canada there is a possibility that zinc supplies could tighten here in the United States. Zinc prices have been trading on the LME in the $1.30-$1.35 per pound over the past week. At the […]
A large flat rolled steel service center shot me a note late on Friday advising a steel mill had told them earlier in the day to expect a $40 per ton price increase as soon as Monday of this week. At the same time the customer was told if scrap prices in March increase by […]
Steel mill lead times, the time it takes for a new order to be produced by the domestic flat rolled steel mills, remain essentially unchanged from what Steel Market Update reported at the beginning of February. The lead times being reported are compiled by Steel Market Update as part of our flat rolled steel market […]
The respondents to our latest SMU Flat Rolled Steel Market Trends Analysis are reporting steel mills as actively negotiating prices on all flat rolled with the possible exception of Galvalume. Seventy-nine percent of the respondents reported steel mills as willing to negotiate hot rolled spot pricing. We need to go back to our mid-October 2016 […]
Flat rolled steel spot prices have recently given back some of the gains made since the first price announcements were announced by U.S. steel mills in late October. In the past 13 weeks flat rolled prices increased by $160 per ton or more depending on product and the starting point for any specific steel buyer. […]
Steel Market Update (SMU) watches the flat rolled steel service centers very closely for signs of strength or weakness. These signs come in the form of discounting spot prices to their customers (or to each other). As markets weaken and the steel mills become more aggressive in their negotiations with the distributors, the service centers […]
As mentioned in an earlier article, steel buyers need to be aware of the potential for a new round of price increase announcements out of the domestic mills. The drop in scrap prices in the first few days of February followed by a sharp rise between now and then have the mills a bit on […]
Buyers and sellers of flat rolled steel continue to fly high and are optimistic about their company’s ability to be successful both in the existing market environment (Current Sentiment) as well as looking out three to six months into the future (Future Sentiment). Both Current Sentiment and Future Sentiment set record highs based on the […]
The Metal Service Center Institute (MSCI) released shipment and inventories data for the steel service centers located in the United States. They reported higher shipment rates coupled with lower flat rolled inventories (higher overall for all products) which is very supportive for prices to tighten over the next 30 days. U.S. steel service centers (all […]
News for those attending this year’s SMU Steel Summit Conference, we will have free Wi-Fi for everyone attending. This will allow attendees to interact easier with other attendees and with our polling and other features on the SMU App. The SMU App will also have some new features this year and we will write about […]
Flat rolled prices held their own this week and remained at, or very near, last week’s levels. At the moment we are seeing the mills as willing to negotiate prices on some items but, at the same time we are see some strengthening as scrap prices have firmed up over the past week and may […]
The following article is the opinion of John Packard, Publisher, Steel Market Update. I haven’t gone back and reviewed the records as to how many times flat rolled steel prices moved higher after a quick run up followed by a stable to slightly down market for a couple of weeks. Probably less than the fingers […]
It has been four weeks since the last HARDI galvanized steel conference call. The call provides a forum for the HARDI HVAC wholesalers and other associated HARDI members to discuss trends affecting galvanized steel prices. Over the past four weeks market prices have eased a bit but many of the factors that drive prices are […]
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 […]
The following article is from one of our close iron ore & steel trading friends located in Asia: The market has changed or is in turmoil, if you want to call it that, here in SE Asia and China continues to out price themselves whereas the China domestic indicators lead to a different scenario. Ore […]