SMU was speaking to a coated sheet steel buyer this afternoon about flat rolled steel prices. He made an interesting observation about how the markets have become quite complicated. When looking at galvanized, for example, there are different starting points for light gauge, medium gauge and heavy gauge steels. There are also regional differences (southern […]
We saw weakness in a number of the products we index this week. We are not seeing a collapse of the market, and as we discuss in another article in tonight’s issue, there are regional and product differences. The various products are not working in concert right now. We moved our Price Momentum Indicators on […]
SMU was speaking to a coated sheet steel buyer this afternoon about flat rolled steel prices. He made an interesting observation about how the markets have become quite complicated. When looking at galvanized, for example, there are different starting points for light gauge, medium gauge and heavy gauge steels. There are also regional differences (southern […]
A surprising two out of three respondents to Steel Market Update’s market trends questionnaire last week said they are not concerned about the direction of steel prices, at least in the short term, though some question the staying-power of current demand. Steel Market Update asked: “Foreign steel imports are dropping and the domestic mills are […]
The U.S. Department of Commerce released updated import license data on Tuesday evening, with new March license estimates up slightly to 2.76 million tons. These latest figures would be above the three-month moving average (3MMA, through final January data), but below the 12-month moving average (12MMA). When removing the semi-finished (mostly slabs) licenses from the […]
Sales of HVAC products remain fairly strong in most parts of the country, but prices don’t fully reflect that demand, reported members of the Heating, Air-conditioning and Refrigeration Distributors International in their monthly conference call. “I still think the market is fragile,” commented one HARDI member. “The mills have a lot of fundamentals in their […]
A comment from a steel buyer today as we discussed steel prices, “That’s what I like about the steel business, there is always a new dynamic.” Put another way by one of my trading mentors a number of years back, in the steel industry prices are either going up or they are going down, there […]
The U.S. Department of Commerce released license data for foreign steel coming into the United States. Based on the data received and reported through April 2, March imports are expected to come in slightly higher than February at 2.6-2.7 million net tons. When removing the semi-finished (mostly slabs) licenses from the data, the finished steel […]
Year over year, total rolled product imports in March were down by 11.2 percent, measured as a three-month moving average (3MMA). This early look at March’s import volume is based on Commerce Department license data (see explanation below). Beginning in January 2018, we expanded this import analysis to include all major steel sectors: sheet, plate, […]
I’m going to give you more than advertisements in tonight’s Final Thoughts. I have been struggling with our SMU Price Momentum Indicator. It appears that each product has a life of its own, and I need to do a deeper analysis of each to determine where my Momentum Indicator needs to be. Right now, I […]
The majority of respondents to Steel Market Update’s questionnaire this week reported mills willing to talk price in every product category, even plate, which may say something about the current state of steel demand. About 76 percent of respondents said the mills are open to price negotiations on hot rolled, up 20 points from the […]
Lead times for spot orders of hot rolled, cold rolled and galvanized steels are now about a week longer than they were in January, but have seen only small upticks in the past month. Lead times for plate and Galvalume have actually shortened slightly. Hot rolled lead times now average a bit more than four […]
U.S. steel exports in January totaled 636,566 net tons (577,484 metric tons), up 22.6 percent from December, but down 23.4 percent from levels one year ago. Although up over the previous month, keep in mind that total exports for December 2018 were at a 16+ year low. The total January export figure is above the […]
The Canadian International Trade Tribunal recommended on Wednesday that five of seven provisional steel safeguards, imposed by the government following the imposition of Section 232 tariffs by the U.S., be removed. A CITT inquiry concerning the importation into Canada of heavy plate, concrete reinforcing bar, energy tubular products, hot-rolled sheet, pre-painted steel, stainless steel wire, […]
We stuck in a couple of Premium level articles in tonight’s issue to give our Executive members an opportunity to review the level of detail we put into Premium products. With our new pricing we have exceptional membership levels on both Premium and Executive products, especially for those of you who would like to share […]
April saw steel prices lose momentum as hot rolled dipped to an average of $662, cold rolled to $803 and galvanized G90 to less than $900 per ton. Even plate, which has been in tight supply, has now moderated to around $964 per ton from prices near or above $1,000 earlier in the year. Steel […]
I am going to be in the office for the next couple of weeks. My next trip is not until the 15th of April. We have quite a bit going on with a new flat rolled and plate steel market trends analysis (survey) starting first thing Monday morning. If you receive an invitation, please take […]
Nucor has announced that it will build a new steel plate mill in Brandenburg, Ky. The $1.35 billion mill will be capable of producing 1.2 million tons of steel plate products per year. The mill is scheduled to be operational in 2022, pending permit and regulatory approvals. The plant will have the ability to produce 97 […]
By CRU Principal Analyst Josh Spoores In the U.S., plate prices rose $16 /s.ton after falling by $34 /s.ton last week. Prices here started to fall back from their high levels in February, though mills announced a $40 s/.ton price increase, which at best may only stabilize prices at this lower level unless seasonal demand […]
Since hitting an eight-year low in December of just 1,893,568 tons, imports of steel into the United States have been up and down, according to Commerce Department data. Final January imports jumped to 3,478,865 net tons, up 83.7 percent over December—a nearly 1.6 million ton increase. Then in February, based on license data for the […]
Nucor has announced that it will build a new steel plate mill in Brandenburg, Ky. The $1.35 billion mill will be capable of producing 1.2 million tons of steel plate products per year. The mill is scheduled to be operational in 2022, pending permit and regulatory approvals. The plant will have the ability to produce 97 […]
Hot rolled is the weakest product and our HRC average priced dropped due to lower prices collected out of two minimills. We understand one mill is offering even lower numbers for large tonnage, but we did not include that in our numbers for this evening as we want to speak directly with the mill to […]
Hot rolled prices were up $5 per ton this past week to $690 per ton. The averages continue to be negatively impacted by a couple of aggressive mills. We saw a little erosion on cold rolled and the lower end of the galvanized range. Galvalume was unchanged. Plate steel prices saw the gains measured last […]
Mexico has renewed the 15 percent tariff on imports of iron and steel products from countries with which it does not have a free-trade agreement. The tariffs cover 186 products and were originally introduced in 2015 to protect domestic producers from Asian imports. The newest renewal cites the “crisis facing the international steel market caused […]
Steel Market Update asked: With steel imports dropping and domestic mills running close to capacity, are you concerned about where steel prices may go over the next few months? Surprisingly, nearly two out of three respondents to SMU’s market trends questionnaire earlier this week said they are unconcerned about a big swing in prices. Their […]
Over the next couple of years there will be approximately 20 million tons of capacity built in North America. Most of us focus on the capacity being built by Nucor, Steel Dynamics, JSW USA and others. What is overlooked is the capacity being built just south of the U.S. border in Mexico. In an effort […]
Mills are still willing to negotiate on price, especially on hot rolled, even as they work to collect the two $40 per ton price increases they announced in January and February. In every product category except plate, the majority of respondents to Steel Market Update’s questionnaire this week reported mills willing to talk price. Most […]
Lead times for spot orders of flat rolled steel saw little additional change in the past two weeks after moving out by a few days following the mill price increase announcements in January and February. Hot rolled lead times now average a bit more than four weeks, cold rolled more than six weeks, plate six […]
Each month, Steel Market Update produces an import analysis by region for two of the six flat rolled product groups (HRC, CRC, HDG, OMC, CTL plate and coiled plate). This month we are focusing on plate products. The intent of these regional updates is to bridge the gap between our monthly license data summaries and […]
Each month, Steel Market Update produces an import analysis by region for two of the six flat rolled product groups (HRC, CRC, HDG, OMC, cut to length (CTL) plate and coiled plate). This month we are focusing on plate products. The intent of these regional updates is to bridge the gap between our monthly license […]