The following article on the hot-rolled coil (HRC), scrap and financial futures markets was written by Jack Marshall of Crunch Risk LLC. Here is how Jack saw trading over the past week: Hot Rolled Hot-rolled (HR) futures participants market watch as they wait for signs that demand will return even as the dollar continues to […]
The appeal to import foreign hot-rolled coil (HRC) in place of purchasing domestic steel remains low to non-existent, but that may be changing, according to our latest foreign versus domestic price analysis. Foreign prices were flat to down as much as $40 per net ton this week, while domestic prices increased $5 per ton. Foreign […]
Sheet prices are flattish, with hot-rolled coil averaging approximately $750-800 per ton ($37.50-40 per cwt) for the last month. Should we start talking about mini-cycles within a new, higher normal? Or should we assume that prices will continue to resume their downward trek until we see the typical rebound in Q1 of the New Year? […]
Prices for steel sheet remained mostly flat again this week, up or down modestly depending on the product. Hot-rolled coil was up $5 per ton ($0.25 per cwt), cold-rolled was down $10 per ton, and both galvanized and Galvalume base prices were down $5 per ton. What we’ve seen for the last month is an […]
We’ve seen a wave of mill idlings and outages this fall. But steel buyer reaction to date has been subdued. The yawn now in response to all those tons coming out of the market stands in stark contrast to the almost hysterical reaction to downtime at even the smallest producers in early 2021. Remember the […]
Altos Hornos de México (AHMSA) has restarted its electric arc furnace (EAF) in Monclova, Coahuila, which had been down since July due to a failure at its electrical substation. Work to repair the substation was slowed by difficulties in sourcing the right equipment, which in turn delayed the restart of the EAF, according to a […]
Well, I guess it’s the official outage and idling season. In the month of September alone we’ve confirmed a half dozen or more maintenance outages (some pulled forward) and temporary idlings. Why? It sure looks like some steelmakers are trying to deal with declining demand and uncertain market conditions. The hope? Somewhat of a stopgap measure […]
Steel Market Update is pleased to share this new, Premium content — an index comparing lead time and demand data — with Executive members. For information on upgrading to a Premium-level subscription, email Info@SteelMarketUpdate.com. Apparent demand for flat-rolled steel in the US saw its sharpest decline since our early July reading when the index fell seven […]
Total mill shipments of steel products were largely sideways in July, up marginally when compared to June. Mill shipments have been fluctuating up and down all year with little consistency. July’s mill shipments totaled 8.11 million tons, a 0.3% increase from June’s 8.09 million tons. Apparent supply also saw a slight gain in July, up just 1.1% […]
Imported sheet and plate products arrived at US ports at a slower clip in July, resulting in them accounting for a lower share of the domestic market, according to US Commerce Department data. Imports’ share of US sheet and plate markets peaked in December, with sheet reaching its highest level in the past 4.5 years. The trend […]
Sheet prices drifted sideways to down this week, while plate prices fell substantually following the Nucor price decrease announcement on Monday. SMU’s hot-rolled index eased an average of $15 per net ton this week to $770 per ton. This is now tied with our late August price for the lowest HRC price seen since November […]
US plate prices fell this week, responding to Nucor’s latest price announcement on Monday, Sept. 19. Price tags remain under pressure and further declines are expected through the fourth quarter as spot demand is likely to remain limited. But few expect Nucor’s latest plate price announcement to generate any immediate business, sources told SMU, speculating […]
It’s contract negotiation season, and let’s just say that this year is a lot different than the last two years. Mills had pricing power in contract talks in 2020 and in 2021. This year, buyers feel like they have more leverage—and they’re not being shy about pressing mills for lower prices. On the one hand, […]
The spread between hot-rolled coil (HRC) and prime scrap prices has changed course in recent weeks, according to Steel Market Update data. Busheling scrap prices declined for the fifth consecutive month in September, while hot-rolled prices have levelled out in recent weeks. Overall, we had seen a shrinking delta between the two products from May […]
The following article on the hot-rolled coil (HRC), scrap and financial futures markets was written by Jack Marshall of Crunch Risk LLC. Here is how Jack saw trading over the past week: Hot Rolled This futures market has no direction currently, summing up the sentiment in hot rolled as of late. After a slight index […]
Sheet and plate prices continued to drift sideways this week as steel mills attempt to hold the line despite weak signals from the scrap market. Mills are more unified in trying to hold the line around $800 per ton ($40 per cwt) on hot-rolled coil following deep discounting ahead of announced price increases last month. […]
It looks like domestic mills are trying to establish a floor at around $800 per ton ($40 per cwt). They’ve arrived there by different means. And whether they’ll be successful remains to be seen. Suffice it to say that some mills that were very, very aggressive in July and August in the spot market aren’t […]
US plate prices were unchanged this past week but remain under pressure. Spot demand is limited, with sources noting that Nucor’s efforts to keep prices flat might be short-lived. Recall that Nucor announced it would keep some plate prices flat and decrease certain cut-to-length items as much as $150 per ton ($7.50 per cwt) with the […]
The spread between hot-rolled coil and galvanized base prices has narrowed over the past four months and stands at a 24-week low. The relationship between hot rolled and galvanized base prices has been volatile since late 2021. In the last year, galvanized has sold at a premium of as little as $195 per ton over […]
Foreign hot-rolled coil imports have very little (if any) price advantage over domestic steel prices at this time, according to SMU’s latest analysis. In fact, German HRC prices are more expensive than domestic steel after taking freight costs, trader margins and tariffs into consideration. Prices in Italy and in Asia hold only a 1–3% potential […]
Will flat-rolled steel prices bounce around roughly where they’ve been for the past few weeks or inflect downward? Our hot-rolled coil price was down a modest $5 per ton today. And HRC prices have been holding roughly between $770-800 per ton since mid-August. How did things stand this time last year? Steel prices popped above […]
Sheet and plate prices were flat or down this week as some market participants questioned whether tags might be beginning to inflect lower. Hot-rolled and cold-rolled prices were down $5 per ton week over week. Galvanized (down $55 per ton) and Galvalume (down $40 per ton) fell more significantly. The steeper declines in coated products […]
The temptation to purchase foreign hot-rolled coil (HRC) at a discount over domestic steel remains minimal. Adjusted foreign prices now offer little advantage over domestic steel, according to Steel Market Update’s (SMU) latest analysis. After taking freight costs, trader margins, and tariffs into consideration, foreign HRC prices for the three regions covered in this analysis […]
Flat-rolled steel prices were steady to up based on the data points SMU collected this week. There’s undoubtedly been pressure from recent mill price hikes, but it’s still far too early to tell if they will stick or if this is just a blip. Sheet prices rose for each of our products this week. The […]
NLMK USA is seeking to increase spot base prices for carbon steel sheet by at least $75 per ton ($3.75 per cwt). The price increase is effective immediately and applies equally to all new orders of hot-rolled, cold-rolled, and coated products in North America, the company said in a letter to its customers on Friday, […]
The temptation to purchase foreign hot-rolled coil (HRC) at a bargain has all but faded, with adjusted foreign prices now offering little or no advantage over domestic steel, according to Steel Market Update’s latest analysis. After taking freight costs, trader margins and tariffs into consideration, foreign HRC prices for two of the three regions covered […]
Cleveland-Cliffs Inc. aims to increase spot prices for carbon steel sheet by at least $75 per ton ($3.75 per cwt). The move is effectively immediately and applies to equally to all new orders of hot-rolled, cold-rolled and coated products in North America, the company said in a press release on Wednesday, Aug. 24. It comes […]
We’ve concluded the second day of our Steel Summit conference in Atlanta, and I thought I’d leave you with five things I learned today. So here they are in no particular order: Say Hello to ADI, Say Goodbye to Section 232 (as we know it) It’s not official yet. But Steel Dynamics Inc. (SDI) president […]
Sheet prices are down across the board this week, putting big cracks in any hopes that hot-rolled coil prices would find a bottom around $800 per net ton ($40 per cwt). The declines came as market participants reported that at least one large producer had cut deals at low levels and, in doing so, put […]
US plate prices edged down marginally this week, declining for the third straight week. The easing was driven by a tightening of the range, though sources feel pricing has flattened. The repeated declines are not exactly a surprise given plate prices have been holding an unsustainable premium over coil, while buying remains strategic and mainly hand-to-mouth. […]