Steel Products Prices North America

SMU Price Ranges & Indices: Sky is the Limit?
Written by John Packard
December 6, 2016
Flat rolled steel prices continued their march higher after the 4th price increase announcement set the bar at $600 per ton for hot rolled and $820 per ton on cold rolled and coated steels. The total of the four increases is a “minimum” of $140 per ton going back to the first announcement made on October 21, 2016.
We found prices have moved significantly over what we saw one week ago. Steel Market Update averages are listed below. But, we think it is important that our readers understand that the number of data points at the low end of our range are much fewer than those at the higher end of the range. We are also being told by buyers who are not placing orders this week that the offers are at, or very close to, the $600 HR and $820 CR and coated.
With scrap rallying at +$40-$50 per gross ton levels we would not be surprised if there was yet another price announcement prior to the New Year. SMU Price Momentum Indicator continues to point toward higher prices over the next 30 to 60 days.
Here is how we see prices this week:
Hot Rolled Coil: SMU Range is $560-$600 per ton ($28.00/cwt-$30.00/cwt) with an average of $580 per ton ($29.00/cwt) FOB mill, east of the Rockies. The lower end of our range increased $40 per ton over one week ago while the upper end rose $20 per ton. Our overall average is up $30 per ton compared to last week. Our price momentum on hot rolled steel continues to be pointing toward Higher which means that prices are expected to move up over the next 30-60 days.
Hot Rolled Lead Times: 3-5 weeks
Cold Rolled Coil: SMU Range is $760-$820 per ton ($38.00/cwt-$41.00/cwt) with an average of $790 per ton ($39.50/cwt) FOB mill, east of the Rockies. The lower end of our range rose $20 per ton over last week while the upper end increased $40 per ton. Our overall average is up $30 per ton over one week ago. Our price momentum on cold rolled steel continues to point toward Higher which means that prices are expected to move up over the next 30-60 days.
Cold Rolled Lead Times: 4-8 weeks
Galvanized Coil: SMU Base Price Range is $38.00/cwt-$41.00/cwt ($760-$820 per ton) with an average of $39.50/cwt ($790 per ton) FOB mill, east of the Rockies. The lower end of our range rose $10 per ton over one week ago while the upper end increased $40 per ton. Our overall average is up $25 per ton compared to last week. Our price momentum on galvanized steel continues to point Higher which means that prices are expected to move up over the next 30-60 days.
Galvanized .060” G90 Benchmark: SMU Range is $829-$889 per net ton with an average of $859 per ton FOB mill, east of the Rockies.
Galvanized Lead Times: 4-9 weeks
Galvalume Coil: SMU Base Price Range is $38.00/cwt-$41.00/cwt ($760-$820 per ton) with an average of $39.50/cwt ($790 per ton) FOB mill, east of the Rockies. The lower end of our range remained the same over last week while the upper end increased $30 per ton. Our overall average is up $15 per ton over one week ago. Our price momentum on Galvalume steel continues to point Higher which means that prices are expected to move up over the next 30-60 days.
Galvalume .0142” AZ50, Grade 80 Benchmark: SMU Range is $1051-$1111 per net ton with an average of $1081 per ton FOB mill, east of the Rockies.
Galvalume Lead Times: 4-7 weeks
SMU Note: Below is a graphic showing our hot rolled, cold rolled, galvanized, and Galvalume price history. To use the graphs interactive capabilities, you must view it on our website here. If you need help navigating the website or need to know your login information, contact us at info@SteelMarketUpdate.com or by calling 800-432-3475.

John Packard
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