SMU Price Ranges: Sheet, plate prices inch higher as supply squeeze tightens

Meanwhile, with inventories still lean and demand still robust, most sources said they didn’t see the supply squeeze ending anytime soon – with some saying the current market is the tightest they’ve seen since early 2021, when a snapback in demand and weather-related outages created a supply crunch.

By the numbers

SMU’s HR price now stands at $1,195 per short ton (st) on average, up $15/st from last week. CR is at $1,430/st on average, up $30/st from a week ago amid chatter that one major domestic mill has limited buyers to the contract minimums. Galvanized base prices clocked in at $1,425/st on average, a $15/st gain compared to last week. And Galvalume stands at $1,430/st, up $20/st from a week ago.

Plate, meanwhile, rose to $1,395/st on average, up $15/st from last week on limited supplies, a situation that sources said has only been exacerbated by outages.

What they’re saying

“I haven’t seen anything spot on hot-rolled,” one Midwest service center source said, a sentiment echoed by others.

“The supply situation is actually getting worse out there. We keep raising our numbers. Because we can’t keep steel in stock,” a second said. “And you can’t believe some of the people calling us right now. Big OEMs. Some that we haven’t heard from in years. And we’re hearing from a lot of them now.”

The good news? A range of market participants said they posted one of their best Julys on record thanks not only to high prices but also robust demand.

“The demand is so much better than the expectations were not just at the beginning of the year but six months ago. Not just than they were three months ago but than what they were a month ago,” one industry source said. “Everyone kept expecting the other shoe to fall, but it hasn’t.”

Momentum

SMU’s price momentum indicator remains at higher for both sheet and plate products, signaling we expect prices to increase further in the short term.

Refer to Table 1 (click to enlarge) for our latest price indices and trends.

Hot-rolled coil: $1,170–1,220/st, averaging $1,195/st

The lower end of our range is up $10/st week over week (w/w), while the top end is up $20/st. Our overall average is up $15/st w/w.

Hot-rolled lead times range from 5–12 weeks, averaging 7.7 weeks as of our Aug. 5 market survey. We will publish updated lead times on Thursday.

Cold-rolled coil: $1,400–1,460/st, averaging $1,430/st

The lower end of our range is up $20/st w/w, while the top end is up $40/st. Our overall average is up $30/st w/w.

Cold-rolled lead times range from 6–13 weeks, averaging 9.0 weeks through our latest survey.

Galvanized coil: $1,390–1,460/st, averaging $1,425/st

The lower end of our range is up $10/st w/w, while the top end is up $20/st. Our overall average is up $15/st w/w.

Galvanized .060×48” G90 benchmark: SMU price range is $1,489–1,559/st, averaging $1,524/st FOB mill, east of the Rockies. Note that this spec includes $99/st in mill extras, and extras may vary by mill.

Galvanized lead times range from 6–13 weeks, averaging 8.9 weeks through our latest survey.

Galvalume coil: $1,400–1,460/st, averaging $1,430/st

Our entire range is up $20/st w/w.

Galvalume .0142×42” AZ50, grade 80 benchmark: SMU price range is $2,000–2,060/st, averaging $2,030/st FOB mill, east of the Rockies. Note that this spec includes $600/st in mill extras, and extras may vary by mill.

Galvalume lead times range from 6–13 weeks, averaging 8.8 weeks through our latest survey.

Plate: $1,360–1,430/st, averaging $1,395/st

The lower end of our range is up $30/st w/w, while the top end is unchanged. Our overall average is up $15/st w/w.

Plate lead times range from 5–12 weeks, averaging 9.1 weeks through our latest survey.