Alro Steel has marked 75 years in business. Al Glick started Alro Steel with his brother Robert with one location in Jackson, Mich., in 1948. Now with more than 3,000 workers, the company has expanded to over 75 locations in 15 states. “We strive to be America’s premier metals, industrial supplies, and plastics service center,” the […]
Editor’s note: SMU Contributor David Feldstein is president of Rock Trading Advisors. Rock provides customers attached to the steel industry with commodity price risk management services and market intelligence. RTA is registered with the National Futures Association as a Commodity Trade Advisor. David has over 20 years of professional trading experience and has been active […]
Imports of hot-rolled coil (HRC) are becoming more attractive as US mills continue to drive domestic prices higher. The price advantage domestic HRC had enjoyed over offshore hot band as recently as five weeks ago swung negative, mirroring dynamics seen more than a year ago, according to Steel Market Update’s latest foreign vs. domestic price […]
What’s perhaps most shocking about Cleveland-Cliffs starting the week up $100 per ton ($5 per cwt) on sheet and targeting $1,200 per ton for hot-rolled coil (HRC) is that many of you didn’t find it shocking. In early February, we got used to prices going up by $50 per ton from one week to the […]
US heating and cooling equipment shipments were down in January, according to recently released data from the Air Conditioning, Heating, and Refrigeration Institute (AHRI). Total shipments in January were 1.65 million units, compared to 1.68 in December, and down 9% compared to the same time last year. The highest shipment levels of 2022 were recorded […]
The steel industry in the US, and across much of the developed world, finds itself between two greens. On the one hand is the constant innovation towards sustainable, decarbonized “green” steel. And, on the other, is a more traditional green, the bottom line: money. The hope is to keep the two aligned, increasing profits while […]
How many different ways can we write about pricing increases? I had to look at my thesaurus at one point in an attempt to diversify my choice of words. There are plenty of charts and data that reflect how dynamically pricing has changed over the last month. A good explanation is key to making it digestible to […]
Editor’s note: Steel Market Update is pleased to share this Premium content with Executive members. For information on how to upgrade to a Premium-level subscription, contact Lindsey Fox at lindsey@steelmarketupdate.com. Monthly Key Market Indicators (KMI) improved over the past month, advancing repeatedly since hitting a recent low last November, according to the latest analysis by […]
We’ve just seen the biggest week-over-week increase in hot-rolled coil prices since the frenzy following Russia’s invasion of Ukraine last year. SMU’s hot-rolled coil (HRC) price is up $140 per ton ($7 per cwt) week over week. That’s our biggest such gain since prices jumped $210 per ton in mid-March of last year at the height of […]
The Dodge Momentum Index (DMI) rose 1.9%% in February to 203 from the revised January reading of 199.3, according to data and analytics from the Dodge Construction Network (DCN). Additionally, the commercial component of the DMI also advanced 1.4% and the institutional component increased 2.9%, respectively, last month. The Dodge Momentum Index returned to growth […]
A sheet supply squeeze is on and, according to some market participants, chances are it’s only going to get tighter. There is no one thing, a war or pandemic, that’s causing the squeeze this time. Instead, it’s a litany of comparatively smaller events that combined have created some real havoc. You know that list by […]
Both of SMU’s Steel Buyers Sentiment indices – one measures current sentiment and another future sentiment – ticked upward, according to SMU’s most recent survey data. SMU’s Steel Buyers Sentiment Indices measure how steel buyers feel about their company’s ability to be successful in the current market, as well as three to six months down […]
SMU’s Steel Demand Index indicates that the pace of growth has slowed down when it comes to apparent demand for flat-rolled steel in the US. The index is still above 50, which indicates improving demand. But it is down 6.4 points, following a similar weakening seen in the prior reading in mid-February. The back-to-back declines […]
Weekly pricing increases are giving a new reason to have the “Sunday Scaries.” But as we wind down this week, all is quiet on the western front, so far. With regular news of price hikes, hearing mixed opinions from the market is no surprise. For every optimistic view, there’s a louder pessimistic one. We have […]
Steel mill lead times are following prices as they continue to trend upward, according to SMU’s latest market survey. SMU’s hot-rolled lead time is approximately six weeks, up from 5.4 weeks in our last market check two weeks ago. The result is notable because it marks a second consecutive and significant gain. Recall that lead times had been steady just below […]
Steel buyers are finding mills much less willing to negotiate lower prices this week, according to SMU data. Respondents to our latest survey reported that most mills were unwilling to negotiate lower sheet prices. Some said plate mills were still willing to cut deals. Every two weeks, SMU asks steel buyers whether domestic mills willing to negotiate lower […]
February came in with a bang and went out with one too. We saw two rounds of $50-per-ton sheet price increases early in the month. Then one of $100 per ton. And finally Cleveland-Cliffs came in near the buzzer on Monday with another $100-per-ton price hike. We think that was the last shot of the […]
Sometimes it’s hard to know who your friends are. What starts offs as a simple disagreement escalates. Things can soon spin out of control. And that’s just for people. When dealing with nation states like the US and Mexico, things get a bit more complex, and the stakes a whole lot higher. At the beginning […]
New, single‐family home sales rebounded slightly in January in response to declining mortgage rates and home prices in December, according to a joint report from the US Department of Housing and Urban Development and the US Census Bureau. The result was helped by home builders’ use of sales incentives, which boosted new home sales, the […]
Last week I talked about lead times and price increases. After the week we’ve had, I could easily copy and paste the same sentiments. (Although I don’t think I’m allowed to publish some of what I’ve heard lately.) Aside from the obvious reasons, price increases come with some extra baggage for many organizations. A few […]
Existing home sales declined for the 12th month in a row in January, according to the National Association of Realtors (NAR). All four major regions in the US registered year-over-year (YoY) drops, though sales were mixed month over month (MoM) among the four regions. The South and West regions registered increases MoM, while the East and Midwest […]
Sheet prices increased this week as another blitz of price hikes – this time $100 per ton ($5/cwt) – spurred the market higher. The latest announcements from the likes of Nucor, Cliffs, US Steel, and ArcelorMittal, all setting a new base price for hot band of $1,000 per ton, are yet to be reflected in […]
Raw steel production by US mills slipped last week following five straight weeks of increases, according to data released by the American Iron and Steel Institute (AISI) on Tuesday, Feb. 21. The decline pushed capacity utilization down to 74%, driven by decreases in tons in all regions except for the South. This is down from […]
Nucor Corp. is pushing its hot-rolled coil price up by at least another $100 per ton ($5 per cwt), its third sheet price hike in a matter of three weeks. The Charlotte, N.C.-based company, the largest steelmaker in the US, said the move was effective immediately for base prices on new orders. Nucor made the […]
Nucor Corp. will again keep plate prices unchanged with the opening of its April order book. The steelmaker has now repeatedly maintained its plate tags since its sharp price cut in late November when it lowered plate prices by $140 per ton ($7 per cwt). The Charlotte, N.C.-based steelmaker said the move was effective on […]
Domestic hot-rolled coil (HRC) kept its competitive price advantage over imported steel – now on a 16-week run. However, it has continued to lose momentum over the past four weeks, according to Steel Market Update’s latest foreign vs. domestic price analysis. US HRC is approximately 2.2% cheaper than foreign prices this week, down from 3.4% […]
Reliance Steel & Aluminum Co. saw its best financial performance in 2022 on record-breaking sales of $17.03 billion, nearly 21% above 2021. The results were achieved “across nearly every metric during a period of continued metal price volatility and broader economic uncertainty,” Reliance president and CEO Karla Lewis said in earnings commentary released on Thursday, Feb. 16. […]
Ternium recorded narrower profits in the fourth quarter on lower steel prices and higher costs. The Luxembourg-based steelmaker, which operates primarily in Latin America, said it expected results to improve in 2023, echoing the comments of its competitors in their recent earnings releases. Ternium’s earnings financial results are in the table to the left. The […]
Sheet prices rose again this week as a blitz of $50-per-ton ($2.50/cwt) price hikes spurred the market higher. Steel Market Update’s hot-rolled coil price now stands at $825 per ton, up $15 per ton from last week and nearing the highest levels we’ve seen since late July. The difference: HRC prices were on their way […]
US Steel said it will supply General Motors (GM) with verdeX® sustainable steel produced at Big River Steel, its electric-arc furnace (EAF) sheet mill in Arkansas. The low-carbon steel produced at the Osceola, Ark., mill will begin shipping to GM manufacturing facilities starting this year, the Pittsburgh-based steelmaker said. “We are pleased to join GM in […]