Final Thoughts

Final Thoughts

Written by John Packard


A quick note about our galvanized index: Effective today we are adjusting the coating extra being used on our .060” G90 galvanized benchmark items from $69 per ton to $78 per ton. We are continuing to use the US Steel extra for guidance. So, the change that you see in our G90 item is a reflection of the new coating extras and not a jump in the base prices (which, by the way, remain the same as what we reported on Tuesday evening). I did check with CRU and they are also using the $78 per ton coating extra.

I receive lead times for a number of steel mills during the course of the week. I am seeing coated lead times out into late April and into May. In some cases we are even seeing some late May lead times for specialty products. SDI is on an Inquire basis for many of their items in both Columbus and Butler (note: we are talking about “spot” lead times and not those related to their contract customers where the mill most likely has blocked tonnage or production space).

On Monday, we will begin our mid-March flat rolled steel market trends analysis (a long-winded way of saying survey).  If you have not been invited to participate and you would like to, please contact me with your name, email address, phone number, company and position.

You may have noticed I have started collecting price ranges and coming up with an average on plate products. Our range on Tuesday was $720-$770 per ton with an average of $745 per ton. I would like to expand our plate coverage so I am looking for plate people to participate in our surveys and to identify themselves so I can communicate with you on a regular basis. We never attribute company names or individual identities in our publication or website (or outside of our company).

If you have any questions or would like to be added to our survey invitation, please contact me at John@SteelMarketUpdate.com

Registrations continue to be quite strong for the SMU Steel Summit Conference which will be held in Atlanta on August 28, 29, 30th. We are strengthening the conference this year. We have added consulting firm Applied Value Group to our program. They will take about mitigating risks – especially in the purchasing functions of companies. They will discuss risk strategies, your risk profile and lining up the cost side of your business with the sales side. We added the Applied Value Group based on the suggestion of one of our OEM customers and attendee to past SMU Steel Summit Conferences. Flack Global Metals will be sponsoring our Monday afternoon program this year and we encourage you to arrive in the late AM to early afternoon on Monday, August 28th to get the most out of our Risk Management program and the networking that will be happening at the Marriott Gateway Hotel that afternoon and evening. We will begin registration around 1:30 PM on Monday afternoon at the hotel.

You can register for the conference on our website (as an individual or as a group) or by contacting our offices: 772-932-7538 or 706-216-2140. Questions go to: info@SteelMarketUpdate.com.

I want to take a moment to welcome our newest members to Steel Market Update. We encourage all of our members to interact with us – ask questions, point out errors (or tell us you like something we are doing) and to make suggestions. As I noted above, we do listen to suggestions and many of our articles, adjustments to our workshops and conference come from our members. I can be reached almost 24 hours a day at: John@SteelMarketUpdate.com or on my office phone: 800-432-3475.

As always, your business is truly appreciated by all of us here at Steel Market Update.

John Packard, Publisher

Latest in Final Thoughts

Final thoughts

Last week was a newsy one for the US sheet market. Nucor’s announcement that it would publish a weekly HR spot price was the talk of the town – whether that was in chatter among colleagues, at the Boy Scouts of America Metals Industry dinner, or in SMU’s latest market survey. Some think that it could Nucor's spot HR price could bring stability to notoriously volatile US sheet prices, according to SMU's latest steel market survey. Others think it’s too early to gauge its impact. And still others said they were leery of any attempt by producers to control prices.