First, I want to thank the SMU team for keeping the ship afloat and moving forward during my extended vacation. If you didn’t know, I took the month of September off, then the team did a great job during my absence. And of course the steel market kept churning while I was away from my […]
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 […]
At the top of the news this week, Steel Market Update sources reported that steel supplies are loosening as lead times from the domestic mills shorten and surging imports start to make it into service center inventories. It’s no surprise, then, that steel prices are beginning to moderate. Hot rolled steel prices rose virtually every […]
By CRU Principal Analyst Josh Spoores, from CRU’s Steel Sheet Products Monitor Market fundamentals in the North American sheet market continue to evolve and clearly suggest that supply tightness is easing. From a broad point of view, these fundamentals include rising supply, service center inventories that are balanced with outbound shipments, and demand growth that […]
Earlier this month Steel Market Update celebrated our 13th anniversary of officially being in business. I say “officially” because I was publishing the newsletter for a few years prior to starting SMU as a legal entity. It has been a while since I last related the history of Steel Market Update. Where did the idea […]
It’s not wise to call an inflection point based on one week of data. But I’m going to do it anyway. Because while SMU might have just one week of somewhat bearish survey data, there are plenty of other data points out there to say with some confidence that we’re at or near a peak […]
On Friday, Steel Market Update sent data providers the final analysis for July of service center inventories, shipments, steel on-order, and percentage of inventories tied up for contract sales. Premium members will receive the report on Monday. As expected, after reviewing our Flash Report which is provided to data providers five days into the new […]
By CRU Principal Analyst Josh Spoores, from CRU’s Steel Sheet Products Monitor Sheet prices in the U.S. Midwest market have continued to rise, though the rate of increase has slowed since the end of May. The price of HR coil has increased $21 /s.ton w/w and is now $126 /s.ton higher than our assessment on […]
The U.S. Senate passed the $1 trillion infrastructure bill. The bill includes $550 billion in new spending. The bill calls for $110 billion for roads, bridges and major infrastructure projects. It also includes $40 billion for bridge repair and replacement, $39 billion to modernize public transit, $66 billion for passenger and freight rail, $65 billion to […]
Just because all major U.S.-based steel mills have reported quarterly results doesn’t mean that earnings season is over. Results from mills based abroad are coming in. And those of you still paying attention to earnings might have noticed a change in tone between when Steel Dynamics kicked things off on July 19 and when Evraz […]
Steel prices can’t go up forever and could correct downward from their historic highs later this year, steelmaker Evraz said. “Steel prices look unsustainable at current levels and there is a possibility of a gradual price decline in the coming months,” the company said in outlook commentary released with earnings data on Thursday, Aug. 5. […]
Looking for Signs One year ago, benchmark hot rolled prices bottomed at $440 per ton ($22.00/cwt). Since then, steel prices have been on a tear with spot hot rolled more than four times higher at nearly $1,900 per ton ($95.00/cwt). The net result from this 52-week march higher is the way steel buyers view the […]
Looking for Signs One year ago, benchmark hot rolled prices bottomed at $440 per ton ($22.00/cwt). Since then, steel prices have been on a tear with spot hot rolled more than four times higher at nearly $1,900 per ton ($95.00/cwt). The net result from this 52-week march higher is the way steel buyers view the […]
One of the products developed by Steel Market Update over the past four years is our flat rolled and plate steel service center inventories and shipment analysis. I discussed it briefly in Thursday’s newsletter, but I want to go into more detail as I believe it is a report that many of you will want […]
One of the products developed by Steel Market Update over the past four years is our flat rolled and plate steel service center inventories and shipment analysis. I discussed it briefly in Thursday’s newsletter, but I want to go into more detail as I believe it is a report that many of you will want […]
Steel Market Update reported our service center inventories and shipment data to our data providers today. Our Premium level members will get the report at 1 p.m. ET tomorrow. I can whet your appetite by telling you that flat rolled inventories on a days of supply basis rose slightly, but are not yet at what […]
Let’s talk about lead times. Because the results from our latest survey caught my attention. This is the first time in since January-February that you can maybe discern a potential peak in pricing – at least judging by that metric. Lead Times: Trend or Head Fake I’m going to display our lead latest lead time […]
Let’s talk about flat rolled and plate steel mill lead times. Because the results from our latest steel market survey caught my attention. This is the first time in since January-February that you can maybe discern a potential peak in pricing – at least judging by that metric. Lead Times: Trend or Head Fake I’m […]
By CRU Prices Analyst Estelle Tran U.S. sheet prices are still trending higher, which has supported further gains in raw materials, slabs and imported steel. Even though CRU HR coil prices have increased 7.4% m/m to $1,655 /s.ton on June 16, market contacts still report a lack of workable offers, especially given lead times into […]
Steel prices will turn lower and quickly fall back in the next 6-12 months, but mill profitability will remain substantial, predicted Principal Analyst Josh Spoores during CRU’s virtual New York Steel Seminar on Wednesday. Steel prices have hit historic highs, with hot rolled offers at more than $1,700 per ton, as demand continues to outstrip supply. […]
Flat Rolled = 45.3 Shipping Days of Supply Plate = 45.2 Shipping Days of Supply Flat Rolled U.S. service center flat rolled inventories grew significantly in May as mills caught up on deliveries and intake increased. At the end of May, service centers carried 45.3 shipping days of supply on an adjusted basis, up from […]
A reminder to our readers – Steel Market Update will not publish a Sunday evening issue due to this weekend being a national holiday here in the United States (Memorial Day). We will publish as normal on Tuesday, June 1. Inventories are a key component when it comes to understanding the squeeze we have with […]
Price, Price, Price… I might as well begin where I left off in our last issue of Steel Market Update on Thursday. Everyone wants to know when this market will peak, then tip over, and how far it will then fall. There are a wide range of opinions within the steel community, from prices will […]
SSAB Americas reported lower shipments of 480,000 metric tons in the first quarter of 2021 despite strong demand for heavy plate in North America. Due to weather issues in February and lower slab inventories at the beginning of the quarter, shipments fell 16% from the previous quarter and 9% compared to Q1 2020. Higher steel […]
We understand at least one integrated steelmaker is approaching their spot customers with hot rolled base prices of $1,500 to $1,520 per ton. We are not aware of any buyers at this “suggested” HRC price level (it wasn’t that long ago that $1,300 was the “suggested” steel price). We concluded one of our SMU Flat […]
Commented one steel buyer: “No spot supply + strong demand + record-low service center inventories = higher prices. It’s simple economics.” True to that equation, flat rolled steel prices continued their weekly ascent, rising by another $30-35 per ton, according to Steel Market Update’s latest check of the market. The benchmark price for hot rolled […]
By CRU Prices Analyst Estelle Tran, from CRU’s Global Steel Trade Service The strength and longevity of the current uptrend in steel prices has surprised many market participants, and mill maintenance outages are expected to keep lead times extended. The latest lead time survey on March 15-17 from Steel Market Update, which is part of […]
Flat Rolled = 42.7 Shipping Days of Supply Plate = 46.6 Shipping Days of Supply Flat Rolled Flat rolled inventories at service centers edged up in February, largely because of lower shipments caused by harsh winter weather. Flat rolled inventories represented 42.7 shipping days of supply or 2.14 months of supply at the end of […]
Service centers reported lower shipments during the month of February partially due to the harsh winter weather associated with “Snowmageddon.” Steel Market Update’s proprietary service center inventories and shipments report indicated 42.7 days of flat rolled inventories, which is up from 40 days of supply on hand at the end of January. Plate inventories stood […]
Service centers reported lower shipments during the month of February partially due to the harsh winter weather associated with “Snowmageddon.” Steel Market Update’s proprietary service center inventories and shipments report indicated 42.7 days of flat rolled inventories, which is up from 40 days of supply on hand at the end of January. Plate inventories stood […]