SMU Price Ranges & Indices: Ups and Downs

Hot rolled steel prices have declined for the fifth time in the last seven weeks to an average of $1,885 per ton, according to Steel Market Update’s check of the market on Monday and Tuesday. That’s down $70 per ton from the high reached in the first week of September. Price momentum for HR is pointing downward on reports of some softening demand, inventory surpluses and competition from imports. Prices for cold rolled and Galvalume dipped by $15 per ton, while galvanized saw a small $5 uptick. Except for hot rolled, where the trend is pretty clear, prices for other flat rolled products have bounced up and down within a small range for the past two months. SMU will keep its Price Momentum Indicators on neutral for those products until the trend is more firmly established. Meanwhile, the mills continue to raise plate prices. Plate hit a new high this week at an average of $1,850 per ton, up $50 from last week and nearly three times higher than at this time last year.

Hot Rolled Coil: SMU price range is $1,850-$1,920 per net ton ($92.50-$96.00/cwt) with an average of $1,885 per ton ($94.25/cwt) FOB mill, east of the Rockies. The lower end of our range decreased $50 per ton compared to last week, while the upper end remained unchanged. Our overall average is down $25 per ton from one week ago. Our price momentum on hot rolled steel is Lower, meaning we expect prices to decrease over the next 30 days.