Earlier this week we reported on the status of the Chinese steel markets and steel export price offers as of the end of this past week. Both trading company sources used by SMU reported that prices were artificially high and the expectation was that they would fall if not soon by no later than the […]
Licensed data for December was reported by the Steel Import Monitoring System of the US Commerce Department on January 3rd. An explanation of the methodology that use at SMU to analyze the trade data is given at the end of this piece. All volumes in this analysis are reported in short tons. In December, on […]
The American Iron & Steel Institute (AISI) recently reported final U.S. raw steel production estimates for the month of November 2016. The monthly estimates are different than the weekly estimates we report in our Tuesday issues; the AISI bases the monthly estimates on over 75 percent of the domestic mills reporting vs. only 50 percent […]
The engines are warming up and the expectation is for a better 2017 than 2016. The data we collected today was not significantly different than what we were seeing one week ago. Many mills are telling their customers they are on an “inquire only” basis when it comes to new spot orders. We are also […]
When we ended 2015 benchmark hot rolled base prices averaged $375 per ton ($18.75/cwt), cold rolled base average was $515 per ton ($25.75/cwt) and the spread between HRC and CRC base prices was $140 per ton ($7.00/cwt). Galvanized base prices averaged $510 per ton ($25.50/cwt) and the spread between HRC base and that of Galvanized […]
We ended 2016 with a semblance of agreement as to where flat rolled steel prices stood. The table below is for last week and does not include price adjustments that may have been made this week. Hot rolled prices now average more than $600 per ton with SMU at $610 per ton and SteelBenchmarker $608 […]
For the week ending December 31, 2016, the American Iron & Steel Institute (AISI) estimated the U.S. steel industry produced 1,592,000 net tons of raw steel, a 2.7 percent decrease over the previous week but a 7.2 percent increase over the same week one year ago (revised). The estimated capacity utilization rate is 67.1 percent, […]
We are but a few days away from the beginning of the New Year. We thought it prudent as we plan for 2017 that we take a look at what transpired with flat rolled steel prices over the course of the past 12 months. Because the market “bottomed” in December 2015 we have expanded our […]
The following calculation is used by Steel Market Update to identify the theoretical spread between foreign hot rolled export prices and domestic (USA) hot rolled prices. We want our readers to note that we have made a decision to replace SteelBenchmarker as the primary data provider of foreign hot rolled coil prices. We were finding […]
For the week ending December 24, 2016, the American Iron & Steel Institute (AISI) estimated the U.S. steel industry produced 1,636,000 net tons of raw steel, a 3.4 percent decrease over the previous week but a 10.2 percent increase over the same week one year ago (revised). The estimated capacity utilization rate is 69.0 percent, […]
The following article on the hot rolled coil (HRC) and financial futures markets was written by Jack Marshall of Crunch Risk LLC. Here is how Jack saw trading over the past week: Steel Futures HR futures have been quiet going into the holiday week as reflected both in the curve values and in the spot […]
The U.S. Department of Commerce reported Preliminary Census Data for November showing foreign steel imports totaling 2.8 million net tons for the month.This is up from 2.7 million net tons reported during the month of October. We saw increases in semi-finished of 210,000 net tons which accounted for the larger numbers. Semi-finished steels include slabs […]
The data collected late last week and through the day today was spotty at best. However, we feel confident from the numbers we were able to collect to make some minor adjustments in our hot rolled and cold rolled indices. With the Holiday Week upon us SMU does not anticipate another round of price increases […]
The following Comparison Price Indices (CPI) is analyzing prices supplied to the steel industry for the week ending December 23rd and does not include price changes from this week. At the end of this past week both Platts and Steel Market Update had hot rolled prices as averaging $595 per ton ($29.75/cwt). SteelBenchmarker did not […]
On Wednesday morning SSAB informed their customers of their intention to increase transaction prices by $50 per ton ($2.50/cwt) “effective immediately on all new non-contract orders.” Later in the day Nucor Plate Mill Group followed the SSAB lead and also increased their spot prices on carbon, alloy and heat-treated plate by $50 per ton. Where […]
The following article on the hot rolled coil (HRC) futures markets was written by David Feldstein. As Flack Steel’s director of risk management, Dave is an active participant in the hot rolled coil (HRC) futures market and we believe he will provide insightful commentary and trading ideas to our readers. Besides writing Futures articles for […]
Since Tuesday Steel Market Update has received more input regarding the ferrous scrap markets and what we may be looking at regarding negotiations as we head into the month of January. We asked a couple of questions to World Steel Dynamic’s scrap guru, Mike Markley and this is what he told us: Initial thoughts are […]
Earlier this week the U.S. Department of Commerce released new license data on foreign steel imports into the United States for the months of November and December. At this time both months appear poised to come in just under 3.0 million net tons. We are seeing some changes in the trends regarding various products. For […]
When it comes to coated steels (galvanized and Galvalume) the domestic steel mills are beginning to collect prices above the “minimum” guidance number of $820 per ton ($41.00/cwt). We are seeing some of the mills, including some of the smaller conversion mills, collecting as much as $840 per ton base pricing plus extras ($42.00/cwt). Hot […]
If you are a steel buyer thinking that this rash of price increase announcements has run its course you may want to re-think the market forces again. One of the major scrap exporters booked a cargo of 80/20 mix to Turkey at $296 per metric ton delivered. They also sold shredded scrap at $301 delivered. […]
For the week ending December 17, 2016, the American Iron & Steel Institute (AISI) estimated the U.S. steel industry produced 1,694,000 net tons of raw steel, a 1.2 percent increase over the previous week and a 14.1 percent increase over the same week one year ago (revised). The estimated capacity utilization rate is 71.4 percent, […]
The following analysis was done by Steel Market Update for our Premium level customers. We are sharing the article with everyone (as well as our Apparent Excess article), well, because we would like all of our readers to upgrade to Premium… The WSA released their November update of global steel production on Tuesday. Production in […]
Flat rolled prices continued their march toward $600 per ton hot rolled ($30.00/cwt) and $820 per ton base prices on cold rolled and coated ($41.00/cwt). Based on the steel indices followed by Steel Market Update (SMU), hot rolled, cold rolled and coated all increased their averages compared to one week earlier. SteelBenchmarker did report prices […]
The following calculation is used by Steel Market Update to identify the theoretical spread between foreign hot rolled export prices and domestic (USA) hot rolled prices. We want our readers to note that we have made a decision to replace SteelBenchmarker as the primary data provider of foreign hot rolled coil prices. We were finding […]
We have an unusual hot rolled futures market article tonight which will be dealt with in two segments: First, we will have an article written by Andre Marshall of Crunch Risk, LLC as he deals with the financial markets (S&P 500), oil and copper and then he has some comments about an errant trade which […]
According to the latest data released from the U.S. Department of Commerce and the American Iron and Steel Institute, apparent steel supply for the month of October 2016 was 8,338,361 net tons. Apparent steel supply is calculated by adding domestic steel shipments and finished US steel imports, then subtracting total US steel exports. October apparent […]
Flat rolled prices rose again this week according to Steel Market Update sources. Our hot rolled, cold rolled, galvanized and Galvalume indices increased by $10 to $20 per ton and are very close to maximizing the increase announcements made two weeks ago. At that time the target was clearly set for $600 per ton hot […]
The flat rolled steel service centers are increasing their spot steel prices to their customers. According to our most recent flat rolled steel market trends survey, 90 percent of the distributors responding reported their company as raising spot prices to their end users or to other steel service centers. The 90 percent number is 5 […]
The following report on the Chinese steel markets comes to SMU from Beijing Metal Import & Export Company,Ltd.: Please allow us to update China steel market (Dec 05 – Dec 11, 2016) as usual as following: In past week, China market still very firm! Iron ore, coke and Billets all touched the highest level in […]
Steel Market Update received the following information about the Chinese steel market through one of our trading sources located in Taiwan. Our source is a very active trader in China trading iron ore, steel and equipment with the Chinese steel mills. Here is some new information about the Chinese steel mills: Things are more complicated […]