Essay About Steel Prices And Midwest Steel Sheet Prices

Cru Steel
Cru Steel
Prices surge – but cracks in demand appearing
The continued rise of finished steel prices in world markets has seen the CRUspi global index rising by
13% month-on-month in May to reach a new record level of 268.0 – the largest increase in percentage
terms since early 2004.
US Midwest steel sheet prices rose by around 20% in the due to tight supply and a continued absence of
import pressures. Although US sheet prices are currently at a large premium to European and, more
importantly Asian prices, the weakness of the dollar combined with high freight costs, as well as strong
demand in other markets have kept import pressures at bay for now. If sheet prices settle towards the
higher end of recently announced price increases however, it may be that despite these factors, imports do
again become an issue. In the long products market, a spike in scrap prices of between US$147-190/l.ton
caught some producers by surprise, but nonetheless necessitated further increases in finished products
prices. Pricing strategies varied by producer with structurals rising the least, while bar and rod mills were
able to use the quieter import situation to raise prices by between US$150-190/s.ton.
Despite patchy demand, European sheet market fundamentals