Economy
Service Center Inventory Levels Extend Apparent Deficit
Written by John Packard
September 4, 2013
Service Center Deficit Will Help Keep Mill Prices Firm
Flat rolled inventories are at a 466,000 ton deficit according to Steel Market Update proprietary analysis of the recently released MSCI service center inventory data. The 466,000 ton deficit is the largest one we have measured since August 2009 when it was measured at 604,000 tons.
This deficit will help keep mill and spot prices firm until it is addressed (or demand drops significantly).
Flat Rolled Receipts
Flat rolled distributors received 2,102,700 tons during the month of July. This is up from the 2,081,000 tons received during the month of June. There were 22 shipping days during the month. The daily receipt rate was 95,620 tons down from June’s 104,050 tons. The deficit increased from June’s 397,000 tons due to more steel being shipped out than received. During the month distributors shipped 2,236,300 tons.
Plate Receipts
Distributors received 334,000 tons of plate during the month of July. This is down from 359,600 tons received during the month of June. The daily receipt rate was 15,600 tons down from 17,950 tons the prior month. Total plate shipments during the month of July were 335,300 tons, one thousand tons greater than receipts.
Pipe & Tube Receipts
In July pipe & tube distributors received 242,100 tons of tubulars, up from 217,500 tons during the month of June. The daily receipt rate was 11,040 tons, up from 10,850 tons in June. Shipments totaled 232,500 tons (+9,600 tons in inventory).
Total Steel Products
Distributors received 3,359,800 tons of new steel during the month of July. This is up from the 3,267,800 tons received the previous month. The daily receipt rate was 152,760 tons in July, down from 163,430 tons in June. Shipments totaled 3,484,100 tons and inventories were reduced by 124,300 tons.
John Packard
Read more from John PackardLatest in Economy
Architecture billings flat in October after months of contraction
Architecture firms reported stable billings in October, according to the latest Architecture Billings Index (ABI) released by the American Institute of Architects (AIA) and Deltek. This follows 20 months of contracting business conditions.
Trump taps Lutnick to be Commerce Secretary
President-elect Donald Trump has named Wall Street veteran Howard Lutnick as the new US Secretary of Commerce.
New York state manufacturing activity ramps up to multi-year high
New York state’s manufacturing sector saw substantial recovery in November, according to the latest Empire State Manufacturing Survey from the Federal Reserve Bank of New York.
CRU: Dollar and bond yields rise, metal prices fall as Trump wins election
Donald Trump has won the US presidential election. The Republican party has re-taken control of the Senate. Votes are still being counted in many tight congressional races. But based on results so far, the Republicans seem likely to maintain control of the House of Representatives. If confirmed, this will give Trump considerable scope to pass legislation pursuing his agenda. What this means for US policy is not immediately obvious. Trump will not be inaugurated until Jan. 20. In the coming weeks and months, he will begin to assemble his cabinet, which may give a clearer signal on his policy priorities and approaches. Based on statements he made during the presidential campaign, we have set out the likely direction of his economic policy here and green policy here.
ISM: Manufacturing index fell in Oct to lowest point of ’24
Domestic manufacturing contracted for the seventh straight month in October, according to the latest report from the Institute for Supply Management (ISM). This marks the 23rd time in the last 24 months that it has been in contraction.