Final Thoughts
September 19, 2021
Final Thoughts
Written by Tim Triplett
Steel Market Update’s check of the market this week puts the average spot price for hot rolled at an incredible $1,950 per ton. But for the first time in nearly a year, we are not reporting a new record high this week. Our HRC price actually dipped by a small $5 per ton. Next week the price could decline further or go up by $5 or more. Steel prices may bounce around a bit before the trend becomes clear. What is clear is the consensus view that the market is near its peak, if not there already.
As the chart below shows, nearly 80% of the buyers responding to SMU’s survey this week feel we are within $50 of the top. What the chart doesn’t show – and what no one knows – is how rapidly prices may fall.
