Steel Products Prices North America
May 20, 2014
SMU Price Ranges & Indices: Steel Mills Holding On...
Written by Brett Linton
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 rolled prices slightly lower this week. We also picked up a slight weakening on hot rolled but not enough to call out the white flags. Just enough to keep our SMU Price Momentum Indicator at Neutral.
Flat rolled steel buyers were telling us that the mills were “showing a little more flexibility” in their negotiations. However, when pressed, most were not able to confirm receiving lower prices this week than they had one week ago. The mood change, as one executive put it to SMU this afternoon, was “Two weeks ago it was take it or leave it” and now there is a realization that lead times are not quite as far out and there is a flood of foreign at the docks…”
