Steel Products Prices North America
January 23, 2017
Cracks Developing in the Steel Pricing Floor?
Written by John Packard
Are cracks starting to develop in the floor of steel prices? Are any cracks a harbinger to a reversal of flat rolled steel prices? It is too early to tell. However, buyers and sellers of steel need to be aware of that the markets may be in the early stage of change.
Since the beginning of the New Year there has been a growing chorus of voices wondering if demand would support the five flat rolled price increases announced since late October 2016. Last week Steel Market Update produced our mid-January flat rolled steel market trends analysis. During the survey process we asked those responding to our invitation whether demand supported the increases announced both on flat rolled as well as those announced on steel plate. The results can be seen in the graphic below where a significant portion of our respondents believe the increases are not being supported by demand.
