SMU Price Ranges & Indices: Mixed Signals?

Steel prices have moved steadily and predictably upward week after week for the past year. But Steel Market Update’s check of the market on Monday and Tuesday delivered some mixed signals for the first time since August of 2020. Hot rolled coil prices moved up again by another $30 per ton, falling just short of the $1,900 mark. But coated products and plate saw little or no change, while the price for cold rolled appears to have declined. One week does not a trend make, however, and this may just be a summertime statistical anomaly. In fact, SMU’s Price Momentum Indicators will continue to point toward higher prices in the short term. We will only move our Indicators to Neutral and then possibly Lower once it becomes clear the price trend is changing. In the meantime, we would not be surprised to see gyrations in the pricing data for each product as it bounces up and down over the coming weeks or months in search of a peak. Here’s what we see for this week’s prices:

Hot Rolled Coil: SMU price range is $1,840-$1,940 per net ton ($92.00-$97.00/cwt) with an average of $1,890 per ton ($94.50/cwt) FOB mill, east of the Rockies. The lower end of our range increased $20 per ton compared to one week ago, while the upper end increased $40. Our overall average is up $30 per ton from last week. Our price momentum on hot rolled steel is Higher, meaning prices are expected to rise in the next 30 days.