INDEX:  Big drops again

HR:  Fell $15/ton ($0.75/cwt) to $607 ($30.35), falling back to where it was on February 22….High point was $660 ($33.00) on April 5….

CR:  Fell $9/ton ($0.45/cwt) to $818 ($40.90).

GV:  Fell $12/ton ($0.60/cwt) to $893 ($44.65).

CAPACITY:  Fell slightly, but in general continuing flat in the 74-75% range….

SERVICE CENTER DATA:  (See chart to far right)  US Service Centers shipped only 2.1 Million tons of flat roll in April, down from 2.5 Million tons in March….However, there were two less shipping days in April, so in reality daily average shipments were up just a pinch….Months on hand inventory went up from 1.8 months (lowest amount in years) to 2.1 months supply.  Again, the less shipping days affects this number. The numbers get skewed when comparing month to month when you have different amounts of shipping days (March had 23, April only 20, and May back up to 22)….As you can see in the chart below, total inventories in flat roll have gone from 4.6 million tons, to 4.5 million tons, to 4.4  million tons. (dropping).  Average shipments in the past three months is 2.23 million tons….So average over the past three months is 2 months supply….With lead times in the 4-5 week range, service centers are still not in any great urgency to place tons…..