Total U.S. raw steel production in the month of April declined 4.3 percent to 8,109,241 net tons, reports the American Iron and Steel Institute in Washington. Although down over the prior month, the April production level remains strong in comparison to recent months. Also remember that the March production level was the highest seen in […]
U.S. steel exports in April totaled 602,652 net tons (546,717 metric tons), up 2.3 percent from March, but down 30.0 percent from levels one year ago. This is the fifth lowest monthly export level seen in Steel Market Update’s 10-year history, behind December 2018 at 519,099 tons, September 2018 at 584,858 tons, March 2019 at […]
April apparent steel supply was calculated at 9,662,760 net tons, according to data released earlier this week. Apparent steel supply is determined by adding domestic steel shipments and finished U.S. steel imports, then subtracting total U.S. steel exports. April apparent steel supply saw a 166,538 ton or 1.7 percent decrease compared to the same month […]
The following article discussing the global ferrous derivatives markets was written by David Feldstein. As an independent steel market analyst, advisor and trader, we believe he provides insightful commentary and trading ideas to our readers. Note that Steel Market Update does not take any positions on HRC or scrap trading, and any recommendations made by […]
By CRU Senior Analyst Christine Meilton This month we’re looking at mine profitability and the tonnage at risk from lower metals prices and higher treatment charges, both for operating mines and new projects. Recent weeks have seen both zinc and lead prices tumble, and CRU believes that both metals have now passed a cyclical peak […]
Last week I spoke with Mark Millett, CEO of SDI, and he said to me, “Crazy market, isn’t it?” That is proving to be an understatement. Our price indices took major hits this week as we saw prices drop across the board. We heard the drop was blamed on scrap, on short lead times, on […]
Total rolled product imports in May declined by 27.4 percent year over year on a three-month moving average (3MMA) basis. This follows the 24.4 percent decline in April. This early look at May’s import volume is based on Commerce Department license data (see explanation below.) This import analysis includes all major steel sectors: sheet, plate, […]
The U.S. mill capability utilization rate declined slightly for the fourth week in a row to 80.6 percent in the week ending June 8. Raw steel production dipped by another 0.8 percent from the previous week to 1,875,000 net tons. Current mill utilization is down about 2.8 percentage points from its peak earlier this year. […]
This first estimate of U.S. steel imports for June shows foreign purchases trending further downward. The rate of Commerce Department import licenses, extrapolated out through the end of the month, forecasts total steel imports of less than 2.5 million tons in June, well below the average of around 2.7 million tons. Steel imports spiked in […]
By CRU Senior Analyst Erik Hedborg Iron ore prices went through a correction in the past week as Chinese steel prices kept falling and seaborne supply remained robust. On Tuesday, June 4, CRU assessed the 62% Fe fines price at $98.50 /t, a $9.50 /t fall w/w. Our sources see the price fall as a […]
U.S. steel imports appear to have declined in May from the big jump in April, based on a preliminary total of May license data from the Commerce Department. Semi-finished imports dropped sharply, from 1.3 million tons in April to 697,000 tons in May as domestic steelmakers worked down their supplies of foreign slabs. Imports totaling […]
The following calculation is used by Steel Market Update to identify the theoretical spread between foreign hot rolled steel prices (delivered to U.S. ports) and domestic hot rolled coil prices (FOB domestic mills). We want our readers to be aware that this is only a “theoretical” calculation as freight costs, trader margin and other costs […]
The following article on the hot rolled coil (HRC) steel and financial futures markets was written by Jack Marshall of Crunch Risk LLC. Here is how Jack saw trading over the past week: Steel HR spot prices continue to trickle lower. June indexes have started out under $600/ST with Jun’19 HR futures trading in the […]
Steel buyers are hoping the market will find a bottom soon, but it did not happen in the past week. Steel Market Update data indicates that hot rolled and cold rolled both saw further declines averaging around $10 per ton. Plate prices saw a small increase. Here is how we see prices this week: Hot […]
The U.S. mill capability utilization rate saw a slight dip for the third week in a row but remained above 81 percent (81.2 percent) for the week ending June 1. Raw steel production declined by 0.1 percent from the previous week to 1,890,000 net tons. The week’s production represented a 4.5 percent increase from the […]
By CRU Principal Analyst Josh Spoores In the U.S. Midwest market, sheet prices have continued to decline on increased domestic, and now North American, supply. In addition to rising supply, falling scrap costs have also allowed EAF-based mills to remain competitive at these lower prices. It has now been one week since Canada and Mexico […]
SMU contributor Gaurav Chhibbar 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 Gaurav’s previous role, he was a trader at Cargill spending time in […]
U.S. steel imports saw a big jump in April, based on preliminary license data from the Commerce Department. Total imports appear to have topped 3.3 million tons, largely due to nearly 1.3 million tons of semi-finished imports. The figures suggest that domestic steelmakers tripled their purchases of foreign slabs in April compared with March. Final […]
Prices declined further on all types of steel products in the past week, according to Steel Market Update sources. Demand appears soft as buyers wait to see if import offers pick up now that President Trump has cut tariffs on Canada, Mexico and Turkey. Here is how we see prices this week: Hot Rolled Coil: […]
The U.S. mill capability utilization rate saw a slight dip for the second week in a row, to a still healthy 81.3 percent for the week ending May 25. Raw steel production declined by 0.4 percent from the previous week to 1,892,000 net tons. The week’s production represented a 4.6 percent increase from the same […]
By CRU Senior Analyst Erik Hedborg Iron ore prices continued to climb in the past week with a sharp price jump on Monday lifting prices to $108.0 /t on Tuesday, May 28. This translates to a $6.5 /t increase w/w. Seaborne supply outside of Minas Gerais is recovering. Supply from Port Hedland, although falling w/w, […]
The following calculation is used by Steel Market Update to identify the theoretical spread between foreign hot rolled steel prices (delivered to U.S. ports) and domestic hot rolled coil prices (FOB domestic mills). We want our readers to be aware that this is only a “theoretical” calculation as freight costs, trader margin and other costs […]
The following article on the hot rolled coil (HRC) steel and financial futures markets was written by Jack Marshall of Crunch Risk LLC. Here is how Jack saw trading over the past week: Steel The hot rolled steel market remains cautious but optimistic with domestic producer prices coming in at even larger discounts to foreign […]
Steel prices declined yet again this week with some hot rolled offers falling below the $600 per ton level, according to Steel Market Update data. The market will be watching intently in the coming weeks to see if imports from Canada and Mexico add to the downward price pressure, now that President Trump has removed […]
U.S. steel imports are trending a bit lower in May after a significant jump in April, according to Steel Market Update’s analysis of Commerce Department license data. With about 10 days left in the month, it appears May imports will approach 2.7 million tons, down from approximately 2.9 million tons in April. May imports are […]
The U.S. mill capability utilization rate dipped slightly to 81.6 percent for the week ending May 18, while raw steel production declined by 1.4 percent from the previous week to 1,900,000 net tons. The week’s production represented a 5.1 percent increase from the same period last year, reported the American Iron and Steel Institute. Adjusted year-to-date […]
By CRU Senior Analyst Erik Hedborg Iron ore prices have risen sharply in the past week as the strong Chinese demand has continued and fears of further supply disruptions have emerged in Australia and Brazil. On Tuesday, May 21, CRU has assessed the 62% Fe fines price at $101.5 /t, which translates to a $6.5 […]
Premium subscribers to Steel Market Update have reports available on our website that break out the import tonnage into district of entry and source nation for six sheet and plate product categories. This report takes the total national tonnage of hot rolled and breaks it down into product detail. Using U.S. International Trade Commission (USITC) […]
Although not a disaster, steel demand has fallen short of expectations so far in 2019, contributing to the downtrend in steel prices. The benchmark price for hot rolled steel has declined by double digits since the beginning of the year. Steel Market Update’s canvass of the market over the past week reveals that many service […]
Final Census data shows that steel imports into the U.S. were well below average in March at 2.26 million tons, but have trended up sharply in April and May. Based on license data, April imports jumped by more than 28 percent to nearly 2.9 million tons, largely due to a 450,000-ton increase in semi-finished imports, […]