Steel Products Prices North America
April 6, 2021
SMU Price Ranges & Indices: Still Some Headroom
Written by Brett Linton
Steel prices cannot rise indefinitely without hitting a ceiling at which they begin to erode demand. But respondents to Steel Market Update’s questionnaire this week report no signs of weakening demand so far. It appears there’s still some headroom for price increases, as most flat rolled and plate tags moved up another $10-25 per ton. SMU’s benchmark price for hot rolled coil, which has been setting new records week after week since mid-January, is now at $1,340 per ton ($67/cwt), surpassing the prior high seen in 2008 by 25%. Sources tell SMU that at least one mill has offered hot rolled at $1,400 per ton ($70/cwt) this week, though we have not yet heard of any takers. With supplies critically tight and few spot tons available, buyers desperate for material may have to pay up. SMU’s Price Momentum Indicators continue to point toward higher steel prices over the next 30 days.
Here is how we see prices this week:
