Steel Products Prices North America

Service Centers Continue to Push Flat Rolled Spot Prices Higher
Written by John Packard
November 24, 2013
Manufacturing companies are reporting the prices being offered by service centers are essentially only moving in one direction – higher. End users, responding to the most recent flat rolled steel market analysis conducted by Steel Market Update this past week, reported prices as rising as compared to remaining the same by a 73 percent to 27 percent margin. This is an increase from the 60 percent reported at the beginning of the month. The trend to higher spot prices out of the distributors has become well established after a weak start at the beginning of October.
Flat rolled steel distributors concurred with their customers as 70 percent of the service centers reported their spot prices as rising with the balance reporting prices as being stable.
Neither the manufacturing companies nor the distributors reported any offers to discount spot pricing at this time.
Based on our analysis of the service center spot pricing data over the past few years, it is SMU’s opinion that when service centers are acting to move spot prices higher – especially in the percentages seen since the beginning of November – the greater the ability of the domestic steel mills to keep prices firm or moving higher. This can be seen in the graphic shared below. The black numbers shown above the bar represent the AK Steel publically announced price increases.

John Packard
Read more from John PackardLatest in Steel Products Prices North America

SMU price ranges: Flat-rolled balloon continues to leak
Sheet and plate prices were flat or lower again this week on continued concerns about demand and higher production rates among US mills.

HRC vs. busheling spread narrows in August
The price spread between prime scrap and hot-rolled coil (HRC) narrowed in August, according to SMU’s most recent pricing data.

SMU Price Ranges: Market drifts lower still
All five of SMU's steel sheet and plate price indices declined this week, falling to lows last seen in February.

Discontentment brews in plate market with flat, status-quo pricing
Sources in the carbon and alloy steel plate market said they are less discouraged by market uncertainty resulting from tariffs or foreign relations, but are instead, eager to see disruption to the flat pricing environment.

Nucor lowers HR coil spot price by $15/ton
Nucor has implemented a double-digit price decrease on spot hot-rolled (HR) coil for the second consecutive week.