Steel Market Update is seeing some slippage in flat rolled steel prices this week when compared to one week ago. Most of the changes came at the lower end of the range and the trend we are seeing is for prices to continue to slowly slip over the next 30 days. As we mentioned in […]
Trying to keep up with steel prices and production is proving to be quite an exercise. As we were preparing to publish we were chasing a story about AK Steel having issues with their Ashland blast furnace. At the same time we are gathering data from large buyers that is taking the lower end of […]
A short note to let our Premium Level members know that our Steel Market Update survey results are online and can be accessed on the website. If you need assistance accessing any of the Premium products on our website please let me or Brett@SteelMarketUpdate.com know and we will help you. We are also sharing this […]
Steel Market Update sources confirmed that the two Severstal North America (NA) steel mills are for sale. At 7.0 million tons of steelmaking capacity, Severstal NA is the fourth largest flat rolled steel producing mill in the United States. Rumors of the possible sale of the Dearborn and Columbus facilities had been circulating around the […]
Late this afternoon an ArcelorMittal USA customer advised us that AM had opened their August order book. They received a note from the mill which included the following comments: Current demand for light flat rolled products has extended our lead times at all of our Northern producing locations. July order acceptance is now closed for […]
According to the results of our latest flat rolled steel market survey just completed earlier today, mill lead times are slowly beginning to move in (get shorter) on almost all products followed by Steel Market Update. Our respondents reported shorter lead times on hot rolled which were at 4.91 weeks on the 15th of May […]
As mentioned in the article on steel mill lead times included in this newsletter, we tend to see steel mills as more willing to negotiate steel prices as order books begin to get leaner and lead times begin to shrink. We are seeing some retrenchment of lead times and, at the same time, our recent […]
Steel prices are starting to slip. We have found a number of mills making price adjustments to their flat rolled steel offers over the past 24-48 hours. The steel mills are attempting to keep the reductions as minimal and quiet as possible. We are posting reductions in our averages, most occurring due to reductions on […]
The Chicago Business Barometer reached its highest level since October, climbing 2.5 point to 65.5. The new reading, when taken with other economic indicators, shows a strong recovery in the second quarter after a lackluster start to the year. This is good news for the flat rolled steel industry in North America. With winter finally […]
Ferrous scrap price negotiations are beginning with at least one deal getting done in Detroit within the past few days at down $22 per gross ton. However, as one scrap dealer explained to us earlier today, scrap prices are all over the board. There are steel mills who are bringing furnaces back online and others […]
The break for the Memorial Day Holiday here in the United States took some of the pressure off both buyers and sellers of steel as both sides regroup and begin to look at July and beyond flat rolled steel pricing. One steel mill executive told us that they were seeing downward pressure on their mill […]
As quickly as repaired blast furnaces come back online at US Steel and ArcelorMittal we are seeing them taking down more steelmaking equipment. SMU received word that ArcelorMittal Cleveland Works restarted the C-5 blast furnace early Monday morning, May 26. The C-5 blast furnace has been down for a couple of weeks resulting in the […]
Last week Steel Market Update conducted our mid-May flat rolled steel market analysis. We thought it would be interesting to compare what our respondents were thinking last week compared to the beginning of May regarding where hot rolled coil spot prices might be by the beginning of June. What our survey discovered was our respondents […]
Steel mill lead times remained extended (or from a mill perspective, at reasonable levels) on all products. Benchmark hot rolled lead times averaged 4.91 weeks which is essentially unchanged from the 5.00 weeks reported at the beginning of May. Last year at this time HRC lead times averaged 3.03 weeks. We are running approximately 2 […]
Lead times are reported as being relatively stable compared to two weeks ago, but down slightly from the cycle highs which were achieved within the past two months. Our manufacturing and service center respondents reported the domestic steel mills as becoming more flexible in their flat rolled steel price negotiations. Fifty percent of the manufacturing […]
Lead times are reported as being relatively stable compared to two weeks ago, but down slightly from the cycle highs which were achieved within the past two months. Our manufacturing and service center respondents reported the domestic steel mills as becoming more flexible in their flat rolled steel price negotiations. Fifty percent of the manufacturing […]
Even though there might be an air of expectation that flat rolled steel prices are going to drop, Steel Market Update continues to see a stingy domestic steel industry. Stingy in that they are not quick to give back the gains made over the past eight weeks. SMU noticed that Platts actually moved their hot […]
On Wednesday, Steel Market Update adjusted our SMU Price Momentum Indicator to Neutral from Higher. Our Price Momentum Indicator had been pointing toward Higher prices ever since March 25, 2014. Over the past seven weeks, hot rolled coil prices advanced from $630 to a high of $685 per ton based on the Steel Market Update […]
The following article is written by Andre Marshall, CEO of Crunch Risk LLC and the instructor for our brand new Managing Price Risk II: Strategies & Execution workshop. Every week we produce an article about futures trading and, in Andre’s case, about the broader financial markets. Andre begins with the a look at the financial […]
We have been getting mixed messages regarding the Ecorse or USS Great Lakes steelmaking operations. Our sources have been advising us that there have been plans to bring the furnaces and #2 BOP back up over this past weekend (did not happen) and then again today (still not up). Other sources close to the situation […]
U.S. and Canadian steel mills continue to keep a firm grip on pricing as supply (production) related problems keep lead times extended on most products. We are seeing the impact of foreign galvanized and Galvalume imports influencing at least one coated steel mill in the South. Domestic buyers appear to be accepting the higher prices […]
There will be a lot of news in the media today and tomorrow regarding foreign steel imports and their damage to the U.S. economy. We are seeing demonstrations across the country by union workers trying to influence policy and, particularly, the final determination of the OCTG dumping suits. Politicians are involved with Senator Sherrod Brown […]
The U.S. Department of Commerce released their latest imported steel license data for the month of May 2014. The early indication is for May steel imports to remain at, or above the projected April imports of 3.7 million tons. March final imports came in at 3.2 million which is also our 3 month moving average. […]
Steel Market Update sources confirmed that the two Severstal North America (NA) steel mills are for sale. At 7.0 million tons of steelmaking capacity, Severstal NA is the fourth largest flat rolled steel producing mill in the United States. Rumors of the possible sale of the Dearborn and Columbus facilities had been circulating around the […]
In case you missed the special issue we put out on Saturday we have reproduced the article below: Steel Market Update sources confirmed that the two Severstal North America (NA) steel mills are for sale. At 7.0 million tons of steelmaking capacity, Severstal NA is the fourth largest flat rolled steel producing mill in the […]
Buyers and sellers of steel continue to grow in their belief that their company will be successful in both the existing market as well as out into the future. A new record high for our Index was achieved this week as our Steel Market Update (SMU) Steel Buyers Sentiment Index was measured at +59. This […]
Steel Market Update conducted our early May flat rolled steel market survey this week and the results are raising some questions as to whether the tightness in supply is beginning to abate. We found hot rolled lead times as shrinking half a week and cold rolled a little more than what we had reported from […]
The domestic steel mills continue to be united in their approach to negotiating flat rolled steel pricing. Based on data collected this week from our flat rolled steel market survey, we found that only 30 percent of the respondents were reporting the domestic mills as willing to negotiate hot rolled steel pricing. This is up […]
Pressure continues on flat rolled steel prices as we saw gains on hot rolled and cold rolled while galvanized and Galvalume remained the same as one week ago. The issue on the coated products and cold rolled to a lesser degree, has been imported steel which is impacting the southern states in two ways. First, […]
Steel Market Update continuously is in conversation with flat rolled steel buyers from around the country. We have noticed a growing nervousness within the steel community as the buyers grapple with ever higher steel prices and extended lead times. In some cases the lead times on foreign material are not much more than what the […]