Steel Products
SMU Price Ranges & Indices: Little Movement
Written by John Packard
August 14, 2013
Written by: John Packard
Essentially our review of the market has found little measurable movement in spot flat rolled prices this week. The opinion of many buyers is the market is closer to the top and any purchases need to be carefully considered prior to making any commitments. Buyers continue to express confidence in their own markets as being “steady” or “decent” as opposed to being in
decline. As mentioned in the article above, our SMU Price Momentum Indicator remains at Higher as we wait to see if supply continues to remain in balance with demand or, if something tips the scales and in the process moves prices even higher or lower from here.
Here is how we see prices this week:
Hot Rolled Coil: SMU Range is $635-$665 per ton ($31.75/cwt- $33.25/cwt) with an average of $650 per ton ($32.5/cwt) fob mill, east of the Rockies. The lower end of our range increased by $15 per ton compared to last week while the upper end decreased by $5 per ton. Our average is now $5 per ton higher compared to last week. The trend for hot rolled is for prices to go sideways to slightly higher over the next 30 days.
Hot Rolled Lead Times: 3-6 weeks.
Cold Rolled Coil: SMU Range is $735-$770 per ton ($36.75/cwt- $38.50/cwt) with an average of $752.5 per ton ($37.625/cwt) fob mill, east of the Rockies. The lower end of our range increased by $5 per ton compared to last week while the upper end remained the same. Our average is now $2.5 per ton higher compared to last week. The trend for cold rolled is for prices to go sideways to slightly higher over the next 30 days.
Cold Rolled Lead Times: 5-9 weeks.
Galvanized Coil: SMU Base Price Range is $730-$770 per ton ($36.50/cwt- $38.50/cwt) with an average of $750 per ton ($37.50/cwt) fob mill, east of the Rockies. Both the lower and upper end of our range remained the same compared to last week. Our average is unchanged compared to last week. The trend for galvanized is for prices to remain firm and potentially move higher over the next 30 days.
Galvanized .060” G90 Benchmark: SMU Range is $790-$830 per ton with an average of $810 per ton.
Galvanized Lead Times: 4-9 weeks.
Galvalume Coil: SMU Base Price Range is $740-$790 per ton ($37.00/cwt- $39.50/cwt) with an average of $765 per ton ($38.25/cwt) fob mill, east of the Rockies. The lower end of our range remained the same compared to last week while the upper end increased by $10 per ton. Our average is now $5 per ton higher compared to last week. The trend for Galvalume is for prices to remain firm and potentially move higher over the next 30 days.
Galvalume .0142” AZ50, Grade 80 Benchmark: SMU Range is $1031-$1081 per ton with an average of $1056 per ton.
Galvalume Lead Times: 5-8 weeks.
John Packard
Read more from John PackardLatest in Steel Products
Nucor maintains plate prices
Nucor aims to keep plate prices flat with the opening of its June order book.
US rig count up, Canada declines
Oil and gas drilling activity was mixed this week, according to Baker Hughes. US rig counts expanded for a second straight week, while Canadian activity continued its seasonal slowdown of eight consecutive weeks.
US, offshore CRC prices continue to diverge
US cold-rolled (CR) coil prices declined again this week, slipping for a third straight week. Most offshore markets did the opposite, moving higher this week.
S232 lifts EU HR price over US, Asian HR still well behind
Domestic hot-rolled coil prices were flat this week after dropping for four straight weeks. Most offshore markets bucked the trend and gained ground.
SMU Steel Demand Index dips into contraction
SMU’s Steel Demand Index has moved into contraction, according to late April indicators. The slowdown comes in response to growing tariff uncertainty after the index reached a four-year high in late February.