SMU Data and Models
SMU MoMo Index Negative but Improving
Written by Brett Linton
November 13, 2014
The Steel Market Update Price MoMo Index for flat rolled steel in the U.S. indicates hot rolled coil price momentum continued its downward trend for the twelfth week in a row. MoMo, which is a trailing indicator, is measured as a percentage and shows the relation of the current hot rolled coil (HRC) price movements against the previous 12-week average spot price as recorded by Steel Market Update. MoMo was measured at -1.54 percent this week, meaning that the current HRC price is lower than the average price over the last 12 weeks.
The change in MoMo can be a useful indicator in depicting the severity of price movements and evaluating the directional trend for flat rolled steel pricing. The week-over-week change in MoMo was +1.21 percent, following a +1.26 percent change the week before. Looking at this change on a 3-week moving average, we see the trend for HRC prices is now positive for the second consecutive week. The 3-week average change in MoMo is +0.50 percent, following an average change of +0.24 last week.
The interactive graph below demonstrates the relationship between the SMU hot rolled coil price and the three week moving average change in MoMo. Published in our Tuesday evening issue, the SMU HRC price range for this week is $620-$660 per ton with an average price of $640, up $5 from one week ago.
SMU Note: You can view the interactive graphic on our Price MoMo Index below when you are logged into the website and reading the newsletter online. If you have not logged into the website in the past and need your username and password, contact us at info@SteelMarketUpdate.com or 800-432-3475. If you need help navigating the website we would also be very happy to assist you.
{amchart id=”138″ SMU HR Price MoMo Index and 3 Week Average Change – Prices Pricing Hot Rolled}
Brett Linton
Read more from Brett LintonLatest in SMU Data and Models
SMU flat-rolled market survey results now available
SMU’s latest steel buyers market survey results are now available on our website to all premium members. After logging in at steelmarketupdate.com, visit the pricing and analysis tab and look under the “survey results” section for “latest survey results.” Past survey results are also available under that selection. If you need help accessing the survey results, or if […]
SMU Survey: Buyers’ Sentiment rises but caution remains
After reaching multi-month lows in mid-May, SMU’s Buyers’ Sentiment Indices modestly recovered in our latest survey.
SMU Survey: Sheet lead times fall to multi-year low
Mill lead times shrunk this week for all of the sheet products tracked by SMU and held steady on plate, according to buyers responding to our latest market survey.
SMU Survey: Mill willingness to negotiate keeps on climbing
Most steel buyers responding to our latest market survey report that domestic mills are willing to talk price to secure new orders. Mill negotiability has continued to rise across all sheet and plate products we track, now at some of the highest levels recorded since late 2024.
Steelmaking raw material costs mixed through May
According to our latest analysis, prices for four of the seven steelmaking raw materials we track increased from April to May. However, select materials saw a collective 1% decline month over month and are down 4% compared to three months ago.