Prices
Comparison Price Indices: Spread Between Indexes Shrinks
Written by John Packard
May 6, 2017
Last week we saw adjustments to the indices that brought the Steel Market Update and Platts numbers closer to one another.
Hot rolled is now averaging $625 per ton ($31.25/cwt) on both SMU and Platts (SteelBenchmarker did not provide numbers last week as they only publish their indices twice per month).
The spread between the two indexes on cold rolled also tightened as Platts indice dropped $15 per ton to $825 per ton ($41.25/cwt).
On coated products SMU kept .060” G90 galvanized the same at $898 per ton ($44.90/cwt) while Galvalume .0142” AZ50, Grade 80 dropped $15 per ton to $1116 per ton ($55.80/cwt).
When it comes to plate the FOB points are not the same and that needs to be taken into consideration. SMU indices is a delivered number while Platts is FOB, Southeastern USA steel mill. Our plate price average dropped $25 per ton to $745 per ton delivered while Platts remained the same (and has been the same for many weeks now) at $735 per ton, FOB SE steel mill.
SMU Note: Galvanized prices include $78 in extras for a .060″ G90 product. Galvalume prices include $291 in extras for a .0142” AZ50 Grade 80 product.
FOB points for each index:
SMU: Domestic Mill, East of the Rockies.
SteelBenchmarker: Domestic Mill, East of the Mississippi.
Platts: Northern Indiana Domestic Mill.
Note that SteelBenchmarker produces numbers twice per month. On the weeks they produce numbers we will include them in the average. The weeks where they do not produce numbers (NA = not available) we will not include their outdated numbers in the CPI average.
John Packard
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