Sheet markets in most areas of the world have established a price floor within the last week. Still, in all markets we cover, demand weakness persists and threatens to either cap potential price increases or even reverse them. The CRUspi was little changed month-on-month (MoM) in December at 190.8 after nearly all markets reached a […]
Editor’s note: SMU Contributor Michael D’Angelo is a researcher and trader at Marex. In his role, Mike performs fundamental and quantitative analysis, which directly leads to actionable trading/risk management strategies across the base, precious, and ferrous metals derivative spaces. Prior to joining Marex, Mike received a BA in economics with a minor in finance from […]
Flat Rolled = 52.4 Shipping Days of Supply Plate = 50.3 Shipping Days of Supply Flat Rolled US service center flat-rolled supply in November was steady month on month (m/m), according to Steel Market Update data. At the end of November, service centers had 52.4 shipping days of flat-rolled steel supply on an adjusted basis, compared […]
Domestic hot-rolled coil (HRC) continues to hold a competitive price advantage over imported steel, though that advantage is slightly easing, according to our latest analysis. US HRC is theoretically 3–13% cheaper than foreign prices this week, after consideration of freight costs, trader margins, and any applicable tariffs. This is the seventh consecutive week domestic prices […]
On Monday and Tuesday of this week, SMU polled steel buyers on a variety of subjects including current and future steel prices, inventory strategies, supply, demand, and new mill capacity. We are sharing the comments we received in each buyer’s own words rather than summarizing them in ours. We want to hear your thoughts, too! […]
There had been some debate around whether mills would announce another price hike before the holidays. That debate is settled. Cleveland-Cliffs, one of four major sheet producers in the US, aims to increase spot prices by $50/ton, and has set a target minimum base price for HRC at $750/ton. In the style of the former […]
Hot-rolled coil prices have risen for a third consecutive on the heels of a $60-per-ton ($3-per-cwt) post-Thanksgiving price hike by domestic mills. Also providing a lift to sheet prices are higher scrap costs, expectations of buyer restocking in the first quarter, and a sense among mills that momentum is on their side. A second round […]
Cleveland-Cliffs Inc. aims to increase spot market base prices for flat-rolled steel by at least $50 per ton ($2.50 per cwt) effectively immediately. The steelmaker announced the price hike, a leading move, in a press release on Tuesday, Dec. 13. The increase applies equally to hot-rolled, cold-rolled and coated products. The company noted that the […]
Steel mill lead times extended across the board this week, with production times increasing for all five products we track. Recall that lead times for hot-rolled, cold-rolled, and galvanized products were previously at or near multi-year lows in our late November market check. Lead times are up by an average of 0.5 weeks compared to […]
Domestic hot-rolled coil (HRC) continues to hold a competitive price advantage over imported steel, according to Steel Market Update’s latest foreign vs. domestic price analysis. US HRC is approximately 6–15% cheaper than foreign prices this week, after consideration of freight costs, trader margins, and any applicable tariffs. This is the sixth consecutive week US prices […]
Hot-rolled coil notched its first consecutive price gains since March on the heels of $60-per-ton ($3-per-cwt) price hikes announced last week. Don’t get me wrong. The price increases have not stuck in full. They often don’t after an initial round. But they have put a floor under prices. And the market seems to be inflecting […]
Sheet price hikes announced last week by domestic mills appeared to have succeeded in putting a floor under tags this week. The question now is to what extent the increases will stick and whether those gains will be sustainable. Our hot-rolled coil price reflects broader market trends. SMU’s average HRC price stood at $615 per […]
This past week was a rather notable one in recent memory when it comes to steel prices. We saw a wave of $60-per-ton sheet price hikes announced by domestic mills. It’s somewhat of an unfamiliar sight in the industry over the past couple of years or so, but just about everyone got in on the […]
US hot-rolled coil (HRC) prices edged up slightly last week on a wave of $60-per-ton sheet price hikes announced by domestic mills. The move appears to have at least temporarily stopped the bleeding seen over the last two months. Time will tell if the price hike attempt finds support. Just about everyone announced an increase of […]
US plate prices were mostly flat this week, but more erosion could be on the horizon now that Nucor announced another round of price cuts. SMU’s most recent check of the market on Tuesday, Nov. 29 placed plate prices between $1,480-1,620 per ton with an average of $1,550 per ton FOB mill east of the […]
US manufacturing activity contracted in November for the first time since May 2020, according to the Institute for Supply Management (ISM). The ISM’s November manufacturing PMI dipped below the neutral 50.0 mark — the level that typically divides expansion from contraction. It was slowed as new orders remained in contraction territory, while prices fell further […]
Domestic hot-rolled coil (HRC) continues to hold a sizeable price advantage over imports, according to Steel Market Update’s latest analysis on foreign and domestic prices. US HRC is approximately 5–12% cheaper than foreign prices this week, after consideration of freight costs, trader margins and any applicable tariffs. This is the fifth consecutive week that US […]
More North American steel producers are joining in the attempt to increase prices for steel sheet products. NLMK USA said in a Dec. 1 letter to customers that “due to increased order placement and extending lead times,” its base prices will increase by a minimum of $60 per ton ($3 per cwt) for spot orders. […]
Is the market at a bottom or not? Cleveland-Cliffs and US Steel have each announced price hikes of $60 per ton ($3 per cwt). And we’re told other mills might follow. If this isn’t a bottom, it sure looks like domestic mills are trying to create one with a floor of ~$600 per ton for […]
The bottom end of SMU’s sheet price ranges firmed up this week following price hikes of $60 per ton ($3 per cwt) announced by Cleveland-Cliffs and US Steel on Monday. It’s not clear yet whether the price increases will stick in full, in part, or simply stop the bleeding. Case in point: Our sheet price […]
SMU polled steel buyers on a variety of subjects on Monday and Tuesday of this week, including current and future steel prices, inventory strategies, supply, demand, and new mill capacity. Rather than summarizing the comments we received, we are sharing them in each buyer’s own words. We want to hear your thoughts, too! Contact Brett@SteelMarketUpdate.com […]
Wolfe Research managing director Timna Tanners will be the featured speaker on our SMU Community Chat webinar on Wednesday, Nov. 30, at 11 a.m. ET. The live webinar is free. A recording will be available free to SMU members. It’s not too late to register here. We’ll talk about Tanners’ outlook for steel prices, raw materials costs, […]
Wolfe Research managing director Timna Tanners will be the featured speaker on our SMU Community Chat webinar on Wednesday, Nov. 30, at 11 a.m. ET. The live webinar is free. A recording will be available free to SMU members. It’s not too late to register here. We’ll talk about Tanners’ outlook for steel prices, raw materials costs, […]
Rumors of a holiday-season price increase continue to ping pong around the market. Will mills announce one on Wednesday ahead of Thanksgiving, in early/mid-December, or not until early next year? Let’s leave the timing aside for a moment and consider why those rumors have been so persistent. On the spot market side, we’ve seen some […]
As hot-rolled coil (HRC) prices continue to trend lower and we approach the end of 2022, steel buyers are starting to see hopes of a pricing bottom, according to Steel Market Update’s latest survey results. HRC prices this week declined for another consecutive week, with the average price of $615 per net ton, down $15 […]
SMU’s sheet prices slipped again this week. But some market participants predicted that sheet was at or near a bottom. The anticipation of that bottom appeared to pull some big buyers off the sidelines. Large purchases from some pulled the low end of our hot-rolled coil range below $600 per ton ($30 per cwt) and […]
Steel mill lead times were mixed this week compared to our previous market check, with production times slightly shrinking for three products and marginally extending for two. Hot rolled, cold rolled, and galvanized lead times are now at or near multi-year lows. Lead times are down by an average of 0.2 weeks compared to one […]
Hot-rolled coil lead times have been bouncing around four weeks on average since July. HRC prices over that time have fallen from $955 per ton ($47.75 per cwt) to $630 per ton as of last week, a 34% decline. The question now is whether we bottom out around $600 per ton. Will sheet prices and lead […]
US plate prices were down marginally last week as spot tons garnered some discounting on limited demand. Plate tags have been eroding slowly in recent weeks with buyers largely on the sidelines. That’s a shift from late October and early November, when prices were roughly flat. Buyers’ focus remains almost exclusively on managing inventories as […]
By CRU Research Analyst Aaron Kearney-Keaveny, from CRU’s Steelmaking Raw Materials Monitor The CRU metallics price indicator (CRUmpi) for November fell by 3.5% month-on-month (MoM), to 298.3, which is the lowest level since December 2020. Global scrap demand continues to be undermined by weak steel market fundamentals in key markets. Over the past few months, […]