Steel Products
February 15, 2018
SMU Steel Summit Presenter Anton Predicts Prices Down by Summer
Written by Tim Triplett
Steel prices have been on an upward trajectory since October, but are likely to change direction by this summer, predicts John Anton, director of steel analytics for IHS Markit. Anton is scheduled to make another appearance as a panelist at Steel Market Update’s premier event, the 2018 Steel Summit Conference, set for Aug. 27-29 at the Georgia International Convention Center in Atlanta.
“Prices by August will have retreated by quite a bit, for several reasons,” Anton told SMU. First, the premium of steel prices over input costs, particularly for ore-based steel, is extremely wide. The last time steel prices were this high, iron ore was trading at $150 per ton; today it is selling at half that amount. “Ore is overpriced and should face downward pressure,” Anton said. ‘Iron ore should go down from here, and that argues for a lower steel price.” The price of coal is also trending downward.
