Economy
SMU's November At-a-Glance
Written by Brett Linton
December 3, 2019
Steel prices had upward momentum in November following multiple price increase announcements by the mills on flat rolled and plate products. Steel Buyers Sentiment moved upward along with the prices as service centers and OEMs anticipated a strengthening market.
After bottoming in mid-October at around $480 per ton, the benchmark price for hot rolled steel moved up to about $535 per ton by the end of November, for a monthly average of $520. Other steel product prices increased to a similar degree, except for Galvalume and plate which were fairly flat.
Lending support to higher finished steel prices were ferrous scrap prices, which increased significantly in November from declines in October and for much of 2019.
True steel demand remained a question mark in November as ISM’s Manufacturing Index remained in contraction below the 50-point level and the U.S rig count in the energy sector continued to decline, among other measures of steel consumption.
See the chart below for other key benchmarks.
Brett Linton
Read more from Brett LintonLatest in Economy
New York state manufacturing falls back into contraction
After a brief pickup in September, manufacturing activity in New York state retreated into contraction, according to the October Empire State Manufacturing Survey.
Dodge Momentum drops on moderating data center growth
Slowing growth in data center planning caused the Dodge Momentum Index (DMI) to pull back in September. The decline followed five months of growth after the index hit a two-year low in March.
US construction spending drops again in August
Construction spending in the US declined for a third month in August but showed an increase year over year (y/y). The US Census Bureau estimated construction spending to be $2.131 trillion in August on a seasonally adjusted annual rate (SAAR). While this was 0.1% below July’s revised spending rate, it was 4.1% higher than spending […]
ISM: Manufacturing contracts again in September
US manufacturing activity contracted for the sixth consecutive month in September, according to the latest report from the Institute for Supply Management (ISM). The index has indicated a contracting industrial sector for 22 of the past 23 months.
Chicago Business Barometer remains gloomy in September
The Chicago Business Barometer increased marginally in September but continues to indicate deteriorating business conditions.