SMU Data and Models

Steel Mill Negotiations: Still Talking...

Written by John Packard


Buyers and sellers of flat rolled steel responding to this week’s Steel Market Update survey reported steel mills as continuing to be receptive to negotiating flat rolled steel prices. However, we are seeing a moderation in the numbers as only 70 percent reported hot rolled coil (HRC) prices as negotiable compared to 92 percent just three weeks ago.

We also saw a moderation in the cold rolled numbers as 57 percent reported prices as negotiable vs. the 75 percent measured in mid-June 2014.

Galvanized dropped from 83 percent to 74 percent and Galvalume 83 percent to 67 percent.

We have seen steel prices moderating this week as our HRC average remained at $660 per ton, cold rolled at $785 per ton (no change) and both our galvanized and Galvalume averages increased by $5 per ton compared to one week ago.

Latest in SMU Data and Models

SMU Survey: Sentiment splits, buyers have better view of future than the present

SMU’s Steel Buyers’ Sentiment Indices moved in opposite directions this week. After rebounding from a near five-year low in late June, Current Sentiment slipped again. At the same time, Future Sentiment climbed to a four-month high. Both indices continue to show optimism among buyers about their company’s chances for success, but suggest there is less confidence in that optimism than earlier in the year.