SMU Price Ranges & Indices: Look Out Below!

Sheet and plate prices fell across the board this week on shorter lead times, import competition and increased spot availability from domestic mills. Declines for hot-rolled coil were generally steeper than those for value-added products. And while certain mills are trying to hold the line around $1,800 per ton, EAF producers were reported to be in the low $1,700s per ton – with chatter about deals being quietly placed at even lower numbers. And sources reported significantly lower prices even on coated material as certain mills take aim at imports with “foreign fighter” deals available to some of their larger customers. SMU’s Price Momentum Indicators are pointing Lower for all sheet products – meaning we anticipate further price declines in the next 30 days. The plate momentum remains at Neutral as the impact of a round of price hikes announced in late November continues to be digested.

Hot Rolled Coil: SMU price range is $1,660-$1,800 per net ton ($83.00-$90.00/cwt) with an average of $1,730 per ton ($86.50/cwt) FOB mill, east of the Rockies. Both the lower and upper ends of our range decreased $40 per ton compared to last week. Our overall average is down $40 per ton from one week ago. Our price momentum on hot rolled steel is at Lower, meaning we expect prices to decrease over the next 30 days.