By CRU Senior Analyst Ryan McKinley, from CRU’s Steel Sheet Products Monitor, May 11 The CRUspi plunged month-on-month (MoM) in May by over 8.6%, which is the largest percentage point decline since late 2008 and the second-largest ever in terms of total fallen points. Supply chain readjustments for both sheet and steelmaking raw materials in the […]
Foreign steel imports continue to hold a competitive price advantage over domestic steel, albeit at a slightly lesser potential discount this week compared to last. According to SMU’s latest foreign versus domestic hot-rolled coil (HRC) price comparison, select foreign HRC prices range from $92-345 per ton ($4.6-$17.25 per cwt) cheaper than domestic prices, after taking […]
Editor’s note: SMU Contributor David Feldstein is president of Rock Trading Advisors. Rock provides customers attached to the steel industry with commodity price risk management services and market intelligence. RTA is registered with the National Futures Association as a Commodity Trade Advisor. David has over 20 years of professional trading experience and has been active […]
Imports of less expensive sheet and plate products continue to arrive at US ports, and at a faster pace in March. Following lighter volumes in February, overall flat product imports accelerated in March and took a larger share of the domestic steel market, according to Commerce Department data. Imports’ share of US sheet and plate markets […]
US raw steel production increased to 7.57 million net tons in March, up 8% from February’s 12-month low, according to recently released American Iron and Steel Institute (AISI) data. While up month over month, March holds the second lowest monthly production rate of the past 13 months. Recall that last August production reached a 20-month high of 8.29 million tons. […]
Sheet prices have fallen sharply following weeks of more modest declines. The big drops this week prompted SMU to shift all its sheet price momentum indicators from neutral to lower. SMU’s hot-rolled coil price plunged $75 per ton ($3.75 per cwt) week-over-week, falling well below the $1,400-per-ton threshold. Cold rolled fell $55 per ton, galvanized […]
US steel exports jumped 16% in March to 843,000 net tons, now the highest monthly level seen since June 2018, according to the latest US Department of Commerce data. On a 12-month moving average, March exports continue to hold onto a 3-year record high at 741,000 tons per month. Total March exports are 7% higher than levels seen […]
Raw steel production by US mills was largely unchanged, with just a marginal increase week-on-week (WoW). Domestic output totaled 1,777,000 net tons in the week ending May 7, while mill capacity utilization was 81.4%, the American Iron and Steel Institute reported. US output was up 0.1% versus the week prior but 3.1% below the same […]
A previously shuttered iron ore concentrate facility on the Mesabi Iron Range might be coming back to life under the newly-formed MagIron LLC. The Plant 4 concentrator near Grand Rapids, Minn., formerly owned by Magnetation and once rescued from bankruptcy by ERP Iron Ore – which subsequently filed for bankruptcy itself – has been acquired by former […]
Final US Department of Commerce data shows that steel imports in March rebounded 32% month-over-month to 3.09 million net tons, a 2+ year high. But April import licenses through May 4 are currently at 2.58 million tons, down 17% from March. (That said, April is still up 10% compared to February.) Final finished steel imports were 2.52 […]
By Greg Wittbecker, Advisor, CRU Group US equities market this past week were a microcosm of how fast sentiment can change. It reminded me of a favorite statement I use to explain commodity trading to people outside our world: “Markets move on fear and greed.” Welcome to the fear cycle. This cycle has plenty of […]
SMU contributor Tim Stevenson is a partner at Metal Edge Partners, a firm engaged in Risk Management and Strategic Advisory. In this role, he and his firm design and execute risk management strategies for clients along with providing process and analytical support. In Tim’s previous role, he was a Director at Cargill Risk Management. Prior […]
Foreign steel imports continue to hold a competitive price advantage over domestic steel, with the spread between the two widening nearly every week since mid-March. According to SMU’s latest foreign versus domestic hot-rolled coil (HRC) price comparison, select foreign HRC prices range from $114-375 per ton cheaper than domestic prices, after taking freight costs, trader margins […]
Sheet prices were flat or lower again this week on expectations of lower scrap prices and concerns about increased import competition over the summer months. Hot-rolled coil prices were down $10 per ton, cold-rolled prices were unchanged, galvanized base prices down $30 per ton, and Galvalume base prices down $35 per ton. Plate prices were […]
Raw steel production by US mills slipped last week, edging down following three weeks of gains. Domestic output totaled 1,775,000 net tons in the week ending April 30, while mill capacity utilization was 81.3%, the American Iron and Steel Institute (AISI) reported. US output was down 0.5% versus the week prior and 3.2% below the […]
ArcelorMittal took a big step toward reducing carbon dioxide (CO2) emissions at its long products mill in Contrecoeur, Quebec, by partial replacement of natural gas with green hydrogen. The successful test on the mill’s direct reduced iron (DRI) modules saw 6.8% of natural gas replaced with green hydrogen during a 24-hour period. The outcome contributed to a measurable reduction […]
By CRU Analysts Chris Bandman and Christopher Dix, from CRU’s Steel Monitor, April 29 Over two months ago, the Russian invasion of Ukraine quickly resulted in the suspension of effectively all Ukrainian steelmaking operations. Since late March, several steelmakers have begun to return to production. Currently, the following operations have partially returned to production: ArcelorMittal […]
By Greg Wittbecker, Advisor, CRU Group Since the outbreak of the war in Ukraine, the aluminum market has fixated on potential sanctions on Russia’s 3+ million metric tons of annual exports. So far, those sanction have not materialized. Several major players have announced their intention to suspend new business with Russia. Emphasis on “new business.” […]
Nucor aims to keep plate prices flat with the opening of its June 2022 order book. The decision marks a departure for the Charlotte, N.C.-based steelmaker, which had increased plate prices on March 9 for April orders and again on March 31 for May orders. “Effective with new orders received as of April 28, 2022, […]
Editor’s note: SMU Contributor David Feldstein is president of Rock Trading Advisors. Rock provides customers attached to the steel industry with commodity price risk management services and market intelligence. RTA is registered with the National Futures Association as a Commodity Trade Advisor. David has over 20 years of professional trading experience and has been active […]
Driven by strong OCTG demand in the Americas and higher line pipe shipments in Europe and South America, steel tube producer Tenaris saw a 15% sequential rise in first quarter sales to $2.367 billion. Sales were double that of the year-ago quarter. Higher pricing, increased drilling, and falling inventories drove a 20% sequential rise in […]
Foreign import prices are gaining a greater competitive advantage over domestic steel this week, according to SMU’s latest foreign versus domestic hot-rolled coil (HRC) price comparison. Select foreign HRC prices range from $60-351 per ton cheaper than domestic prices, after taking freight costs, trader margins and tariffs into consideration. Recall that the price differentials between […]
Sheet prices continue to bump around what some sources think might be the top of the market, with prices for most products down modestly week-over-week. Hot-rolled coil and cold-rolled prices slipped $30 per ton ($1.50 per cwt). Galvanized base prices were down $20 per ton. And Galvalume prices slipped $45 per ton. The dip comes […]
Preliminary Census data shows that steel imports in March increased 31% month-over-month to 3.09 million net tons, rising from an 11-month low to a 2+ year high. April import licenses through April 24 are currently at 2.07 million tons, down 33% from March and down 12% compared to February. Preliminary finished steel imports were 2.52 million tons in March, up […]
Steel Market Update sources expect ferrous scrap prices to decline in May, following record high prices in March and April due to the Ukraine-Russia war. Some expect obsolete grades to decline significantly from April, with busheling prices potentially down as well. “Just looking at the export market makes me think US domestic will see significant drops for all […]
Raw steel production by US mills expanded again last week, now rising for a third straight week. Utilization rates grew further, reaching its highest mark in 13 weeks. Domestic output totaled 1,784,000 net tons in the week ending April 23, while mill capacity utilization was 81.7, reported the American Iron and Steel Institute. US output […]
Matthew Abrams, Analyst, CRU Group As costs, premiums, and prices all remain high, market participants across all sectors are all looking for the edge of the cliff. The war, Covid 19, and inflation are all part of the daily conversation. Supply disruptions and demand destruction are very real worries for all those involved. In what could […]
The relationship between hot rolled and galvanized steel prices has fluctuated heavily over the past six months, with galvanized selling between a $200-545 per ton premium over hot rolled in that time frame. The premium reached record high levels as steel prices declined earlier this year, only beginning to dial back when steel prices reversed course in early March. SMU’s […]
By CRU Prices Analyst Alexandra Anderson, from CRU’s Steel Monitor, April 21 Request more information about this topic. Learn more about CRU’s services at www.crugroup.com
Earlier this week, US Steel and Big River Steel notified customers of an upward revision to their galvanized steel coating extras. New USS extras are effective May 29, 2022, while BRS extras are effective June 4, 2022. “Input costs of zinc and aluminum for our Hot Dipped Galvanized and Galvalume products have continued to rise, […]