Economy

July 2016 at a Glance

Written by Brett Linton

July 30, 2016

For the second month, SMU Price Momentum is at Neutral suggesting flat rolled steel prices will remain within a relatively tight trading range of plus or minus twenty dollars per ton over the next 30 days. We saw hot rolled prices only move $5 per ton during the month of July. Our average for the month came in at $618 per ton while the CME settlement number for the month was three dollars higher at $621 per ton. Platts was also higher averaging $625 per ton for the month.

Our Sentiment Index 3 Month Moving Average broke down during the month at +67.33. This was the first time Sentiment reverse course since December 2015.

The spread between hot rolled and cold rolled/coated products continues to be more than $200 per ton.

Here are a number of the key data points for you to review:

Brett Linton

Brett Linton is a senior analyst for Steel Market Update, where he began his career. Linton has been in the steel industry since 2010. He has held roles as a category manager and strategic insights director at Reibus before returning to SMU in 2024. He is a graduate of The University of North Georgia with a degree in Finance and Accounting. Brett can be reached at brett@steelmarketupdate.com or 724-314-0179.

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