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    Prices

    May 22, 2018

    SMU Price Ranges & Indices: Mills Making a Move to Push Prices Higher?

    Written by John Packard

    A large manufacturing company that buys a tremendous amount of hot rolled in the spot markets explained to SMU what they were seeing out of the domestic steel mills this week: “The market is relatively calm at the moment. Steel prices have been hovering in the same range for the last four to five weeks. We are starting to see more mills trying to push prices higher this week. Currently, we are being quoted HRC base of $880 to $920. Lead time is July with most mills.” We are seeing that same price pressure from a number of our sources, not everyone, but more than a handful. Steel buyers are telling SMU that there will not be any more price increase announcements due to “bad optics” in light of the Section 232 tariffs, etc. Steel buyers should expect the domestic mills to at least make a run at higher prices.

    In the meantime, SMU’s Price Momentum Indicator continues to point sideways (Neutral) on flat rolled and up (Higher) on plate.

    John Packard

    Read more from John Packard

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