A quick note to advise our readers of our Holiday publishing and office schedule. We will continue to publish as normal through Tuesday, December 23rd. We will not publish our newsletter on Thursday, December 25th and Sunday, December 28th unless there is important breaking news that we feel must be shared with our readers. We […]
The following article is by Peter Wright for our Premium level members. We decided to share the article with all of our readers this evening as a way of providing an example of Premium level content and analysis to our Executive readers. Following the post-recession recovery, shipments of hot band from US mills to domestic […]
Flat rolled steel prices continued to erode this week as buyers reported an expansion of discounted offers coupled with short mill lead times. Many steel buyers are telling Steel Market Update that their inventories are relatively high, there are new foreign offers out there at “good” prices and that they can sit back and wait […]
Hot rolled prices dropped on all the indexes which reported new pricing this past week. Steel Market Update was down $10 per ton to $620 per ton with CRU ($623) and Platts ($625) coming very close to the SMU number. SteelBenchmarker did not report new pricing this past week as they only report HRC prices […]
Steel Market Update (SMU) conducted our early December flat rolled steel market analysis this week. As part of the survey process, SMU asks those responding questions about flat rolled steel mill lead times. From their responses we create our average lead time for the industry by product. This allows us the ability to evaluate whether […]
Based strictly on the results from our Steel Market Update flat rolled market survey results, domestic steel mills are willing to negotiate prices on hot rolled, cold rolled, galvanized and Galvalume products. This is something that we see on a regular basis as lead times slip and the need for orders increases at the domestic […]
It has now been five weeks (October 28th) since AK Steel became the first domestic steel mill to announce a price increase on flat rolled steel. The relatively modest $20 per ton move was, in many steel buyers’ opinions, meant to stem the decline in steel prices. At that point in time benchmark hot rolled […]
Flat rolled steel prices began slipping once again as our benchmark hot rolled average broke through the $630 mark for the first time since the middle of March. The new average is now at the lowest level for the calendar year (tied with mid-March) and is poised to set a new low point for the […]
With the exception of Platts, all of the other flat rolled steel indexes reported benchmark hot rolled pricing as being down $5-$9 per ton this past week. Our average also declined by $5 per ton and now sits at $637 per ton. With at least one mill offering spot hot rolled at, or below, $600 […]
It has been a very quiet week due to the Thanksgiving Holiday here in the U.S. on Thursday. A number of service centers advised SMU that the number of inquiries had dramatically fallen off and there isn’t much need to buy steel at this time. The question isn’t so much where are prices this week […]
We ended the article above talking about the tight range we have seen on hot rolled coil over the past 12 months. Total price movement from low to high during that time period has been $65 per ton. The question is, will U.S. hot rolled coil prices break through the low of the past 12 […]
Flat rolled steel prices, as reported by Steel Market Update, Platts, CRU this past week (SteelBenchmarker did not report last week) had mixed results. CRU and SMU have hot rolled prices at $634 and $635 respectively. Platts remains stuck at $640 as they have been for a number of weeks now. SteelBenchmarker did not report […]
Last year at this time hot rolled steel prices averaged $670 per ton and were close to the peak for the year which was $680 per ton (SMU index HRC average). Lead times peaked the first week in December on all flat rolled with the exception of Galvalume. From mid-December 2013 until the middle of […]
The vast majority of our SMU steel survey respondents reported the domestic steel mills as willing to negotiate flat rolled steel prices this week. Those reporting the mills as willing to negotiate hot rolled prices increase by 2 percent to 70 percent of the respondents. Cold rolled jumped by an even greater margin from 52 […]
On October 28, 2014 AK Steel announced a $20 per ton ($1.00/cwt) price increase on hot rolled, cold rolled and galvanized steels. Shortly after, ArcelorMittal and then Nucor advised their customers of specific base price levels on new spot flat rolled orders. Hot rolled was to be offered at $33.00/cwt ($660 per ton or higher) […]
Steel Market Update (SMU) is seeing flat rolled steel prices as drifting at this time. We saw slight adjustments in both the upper and lower end of our range on hot rolled compressing our range. Cold rolled was up by $5 per ton while galvanized was unchanged and Galvalume was lower. Market players are sitting […]
Late last week Steel Market Update (SMU) adjusted our galvanized range to take into consideration the growing number of base prices reaching down to the $35.00/cwt level. Our galvanized range is now $35.00/cwt-$38.00/cwt for new spot orders. Over the weekend we adjusted our hot rolled range to reflect the lower numbers we have been collecting […]
Steel Market Update is revising our galvanized and Galvalume price ranges and averages to accommodate new information that we have been gathering this week. A number of steel buyers and at least one steel mill advised us that the low end of our ranges on these two products were not representative of the deals being […]
Licensed data for October was updated on November 4th through the Steel Import Monitoring System of the US Department of Commerce. The SMU publishes several import reports ranging from this very early look using licensed data to the very detailed analysis of final volumes by district of entry and source nation which is published in […]
We have been getting mixed messages from steel buyers this week regarding the status of the increase announcements and spot flat rolled steel prices. A number of buyers are reporting the mills as pushing the new numbers while others are reporting prices as remaining the same as they were one week ago. One thing that […]
One of the items Steel Market Update is watching closely is steel mill lead times. This is especially true after price increases have been announced. Typically, we see lead times move out (extend) after a price announcement has been made. This is due to the rush to get orders quoted prior to the increase announcement […]
Based on the responses from last week’s Steel Market Update survey of the flat rolled steel market, buyers and sellers of steel reported the domestic steel mills as less willing to negotiate steel prices than what we saw during the middle of October. However, even though the percentages were smaller, the majority of buyers and […]
Ternium reported earnings for the 3rd quarter 2014 this week. Ternium is a large steel producer in Mexico, which accounts for 60 percent of the company’s shipments, as well as Argentina which accounts for 24 percent. Ternium also owns a conversion mill in the United States which produces galvanized and Galvalume products along with prepainted […]
AK Steel, US Steel, Nucor (verbal) and ArcelorMittal all made spot price adjustments this past week. A number of the smaller mills are holding back or have lead times out into 2015 and their order books are closed. Steel Market Update Price Momentum Indicator continues to point toward Neutral meaning prices could be in transition […]
China has a number of taxes on steel, both domestically and for exports. This is one of the misunderstandings many countries have (including the United States). We have been speaking about the subject with one of our key Asian trading contacts over the past few days as we asked about possible suspension of Boron added […]
Prices dropped on all of the indexes and all of the products followed by Steel Market Update. The average for hot rolled, based on the four indexes, was $641 per ton. Steel Market Update saw the market as being down to an average of $630 per ton just prior to the AK Steel announcement. The […]
I adjusted the SMU Price Momentum Indicator from Lower to Neutral in recognition of the attempt by the domestic steel mills to reverse the price trend and move prices higher. A Neutral indicator means prices could move in either direction (or remain stable) over the next 30 days. I understand two mills have made very […]
There has been a flurry of activity as buyers and sellers of steel anticipate a possible price increase announcement (which came late this afternoon in the form of a $20 increase out of AK Steel). Buyers reported the domestic mills as being aggressive this week and we saw our price averages negatively impacted as prices […]
Total September steel imports were just shy 3.9 million net tons according to the Preliminary Census numbers just released by the U.S. Department of Commerce. Total steel imports were up 5.2 percent over August data, and up 38.0 percent year over year. Semi-finished imports (mostly slabs) were up 6.3 percent month over month and 47.3 […]
Steel Market Update (SMU) conducted our mid-October flat rolled steel market survey this week. Based on the results of that survey, we found lead times essentially unchanged from one week ago and basically the same as one year ago. Hot rolled averages 4.2 weeks, cold rolled 6.09 weeks, galvanized 6.11 weeks and Galvalume 6.58 weeks. […]