While in New York City this past week Steel Market Update was asked if the spread between ferrous scrap prices and that of hot rolled coil was at historical highs? We were also asked if the spread between hot rolled and cold rolled/coated base prices were also at historical highs. We asked SMU contributing writer […] The post Price Spread Between HR and CR Largest Since 1993 appeared first on Steel Market Update.
Here are some of the comments made to SMU over the past few days both in New York City and upon our return to our offices. Regarding scrap prices, one of our sources was telling us that the domestic steel mills are making a mistake by attempting to push ferrous scrap prices lower, especially when […] The post New York City Bits ‘N Pieces appeared first on Steel Market Update.
Over the past week Steel Market Update has been of the opinion that flat rolled steel prices may be reaching levels where a “pause” may be appropriate. Our SMU Price Momentum Indicator has been pointing toward Higher flat rolled steel prices since December 11, 2015 (6 months). Many of the reasons which caused Steel Market […] The post SMU Price Momentum Indicator Adjusted to Neutral (and No the Sky is Not Falling) appeared first on Steel Market Update.
There is a big difference between the settlement prices in the Midwest versus those on the East Coast. Ferrous scrap prices in the Chicago area saw shredded scrap drop by $30 per gross ton, cuts (obsolete scrap) was down $20 per ton while prime grades (bundles and busheling) went sideways. In the Detroit numbers shredded […] The post Scrap Prices Slide on all but Prime Grades appeared first on Steel Market Update.
SMU scrap sources on Friday divulged that negotiations have been slow with many mills not yet having bought as of this past Friday. Price indicators are running from sideways on prime grades (busheling/bundles) to down $10, $20, $30 in the Ohio Valley, Midwest and Southeast. The east coast was referenced as being down by even […] The post Ferrous Scrap Prices Drop on All but Prime Grades appeared first on Steel Market Update.
I received a couple of notes from trading companies thanking me for my article on Thursday evening (The Sky is NOT Falling… at least not yet) as I tried to put into context some of the pricing available for foreign steel, correct some misinformation and look at the bigger picture. Even as questions arise about […] The post Final Thoughts appeared first on Steel Market Update.
My understanding is most of the mills canceled any scrap not yet delivered by the end of May. They do this when they believe scrap negotiations for June will result in better prices for them. It is still very early in the negotiation process, especially considering that Monday was a holiday. One scrap expert told […] The post Final Thoughts appeared first on Steel Market Update.
The following article was written by Lisa Reisman, Managing Director and CEO Of Azul Partners, Inc., on May 24, 2016 and is reprinted with permission of MetalMiner: Jennifer Diggins is the director of Government Affairs at Charlotte, N.C.-based Nucor Corp., the largest steelmaker in the U.S. and North America’s largest recycler of any material (Nucor […] The post MetalMiner Q&A: Nucor’s Jennifer Diggins on World Steel Overcapacity appeared first on Steel Market Update.
Our scrap sources are a little less optimistic today about June scrap price negotiations than they were a couple of short weeks ago. Those pesky Chinese are once again mucking up the waters with their billet offers to Turkey (billet can be used in place of scrap and cost less to convert to long products […] The post Scrap Sources Expect Sideways on Primes & Down Slightly on Obsolete Grades appeared first on Steel Market Update.
The following article was written by Jack Marshall of Crunch Risk, LLC. Here is how Crunch Risk saw hot rolled futures and busheling scrap futures trading over the past week: HRC Steel Hot Rolled futures (HRC) have traded modest volume this week (9280 Short Tons). Falling prices of inputs and steel in Asia have given […] The post Hot Rolled Futures: Modest Volume Traded this Week appeared first on Steel Market Update.