Steel Market Update performs this analysis of global scrap trade each quarter to help readers understand the gyrations of the domestic scrap market and where the U.S. stands as a global player. This data is not very current because some nations are slow to report, but we still believe it gives a valuable perspective on […]
Since the Chinese government put a stop to all exports of steel scrap, analyzing the global scrap trade has become a bit more complicated. Steel Market Update performs this analysis of the world scrap market each quarter to help readers understand the gyrations of the domestic scrap market and where the U.S. stands as a […]
On Nov. 3, the spot price of West Texas Intermediate (WTI) closed above $55 per barrel and hasn’t fallen below that level through the latest data on Dec. 11. The total number of operating rigs exploring for oil and gas increased every week from Nov. 10 through Dec. 8, though at a declining rate, and […]
Service center shipments in November declined by 2.5 percent, close to the normal seasonal change for this time of year, according to Steel Market Update’s analysis of Metals Service Center Institute data. Daily shipments in November were 2.5 percent lower than in October. On average since 2009, November has decreased by 2.1 percent from the […]
Demand for sheet products improved in the three months through October by 3.2 percent year over year, led by hot rolled and other metallic coated. Demand for Galvalume is surging at the expense of galvanized sheet, according to Steel Market Update’s latest analysis of American Iron and Steel Institute (AISI) and U.S. Department of Commerce […]
This analysis breaks down the imported tonnage of six flat rolled products into the district of entry and the source country. We believe that misinformation (or lack of) about regional import volumes is often used to influence purchase decisions. Our intent with this analysis is to describe in detail what is going on in a […]
Construction improved in October, but the longer-term trend is for a slowdown in construction spending. Construction slowed every month this year through August on a rolling three-months year-over-year basis. The slowdown in the growth rate stabilized in September and October, improving from 0.5 percent to 1.5 percent. Construction expenditures data is developed by the Department […]
Rolled steel imports into the United States declined by 12.7 percent in the three-month period from September-November, compared with the prior three months, June-August. Sheet products declined by 11.4 percent on the same basis, according to weekly licensed import tonnages reported by of the U.S. Department of Commerce on Dec. 5. The data is reported […]
Steel Market Update’s steel market indicators show improved trends in the November data. In our examination of data released in November, our view of the present situation is that 47.2 percent of the 36 indicators are historically positive with only 19 percent negative. The balance is within the band of historically normal. The total of […]
The broad index value of the U.S. dollar has strengthened since Sept. 8, but in the last month the dollar has weakened against 13 of the 16 steel trading nations’ currencies. From Jan. 3 through Sept. 8, 2017, the Broad Index value of the U.S. dollar depreciated by 9.3 percent. The value rebounded by 2.9 […]
Raw material markets have been tranquil since our October update, but the value of the U.S. dollar is once again in decline. In this report, we examine the latest prices for iron ore, scrap, coking coal and zinc. To put the raw materials analysis into perspective, we begin with Figure 1, which shows the spread […]
Economic indicators of manufacturing activity are still healthy overall and suggest conditions should remain positive for the balance of this year and into the first quarter of 2018. This report summarizes seven data sources that describe the state of manufacturing in the U.S. We have reported on most of these separately in our Steel Market […]
Consumer confidence increased for a fifth consecutive month and remains at at an extremely high level, reports The Conference Board. The composite value of consumer confidence in November was 129.5 up from 126.2 in October. The last nine months have each been better than at any time since 2001. The three-month moving average (3MMA) increased […]
The price of West Texas Intermediate oil has been above $55 per barrel for all of November. On Nov. 3, the spot price of West Texas Intermediate (WTI) closed above $55 per barrel where it stayed through the latest data on Nov. 22. The number of operating rigs exploring for both oil and natural gas […]
Gross domestic product grew in every region of the United States in the second quarter of 2017, according to Bureau of Economic Analysis data. The BEA introduced a new data set for GDP by state and region in 2014 and backdated it to Q1 2005. This week, the data was updated through Q2 2017. Even […]
Driven primarily by construction in the developing world, growth in global steel production continues to surge, according to Steel Market Update’s latest analysis of World Steel Association data. Steel production in the month of October was 145,254,000 metric tons, up from 141,576,000 in September. Capacity utilization decreased from 73.5 percent to 72.9 percent. Production was […]
Service center shipments in October exceeded expectations, led by long products and plate, according to Steel Market Update’s analysis of Metals Service Center Institute data. Daily shipments in October were 1.9 percent higher than in September. On average since 2009, October has decreased by 1.9 percent, therefore these latest numbers were better than the historical […]
U.S. demand for steel sheet products continued to expand through September, according to Steel Market Update’s analysis of data from the American Iron and Steel Institute (AISI) and the U.S. Department of Commerce. Apparent supply is a proxy for market demand. Demand momentum for sheet products in total was negative in the three months through […]
Mexico continues to take a larger share of light vehicle assemblies from the U.S. and Canada, according to Steel Market Update’s analysis of October industry data. U.S. Vehicle Sales In September, sales of autos and light trucks surged to an annual rate of 18.6 million units. October fell back to 18.1 million units. Economy.com had […]
This Steel Market Update analysis breaks down the imported tonnage of six flat rolled steel products by district of entry and source country through September 2017. We believe that misinformation (or a lack of) about regional import volumes is often used to influence purchase decisions. Our intent with this analysis of tonnage by district of […]
SMU Note: This construction market analysis article is normally reserved for our Premium members only, but it is being shared with our entire readership this month. To learn more about our Premium level membership and how it can benefit you, click here. Growth of total construction spending has almost come to a halt, according to […]
U.S. job creation rebounded in October from the blow it suffered in September due to the hurricanes, reports the Bureau of Labor Statistics (BLS) in its employment report released on Friday. September hiring was severely affected by the Texas and Florida hurricanes, particularly in the hospitality industries in Florida. The October rebound was weaker than […]
Growth of total construction spending has almost come to a halt, according to Steel Market Update’s latest analysis of Department of Commerce construction put in place (CPIP) data. Last month, we reported that total construction expenditures contracted in the three months through August year over year for the first time since November 2011. Based on […]
Commodities prices are a mixed bag. The price of iron ore is falling, but zinc is at a 10-year high. In this report, we examine the latest prices for iron ore, scrap, coking coal and zinc. On Oct. 25, commodities analyst Andrew Hecht wrote: “President Xi is likely to consolidate his power and take greater […]
Steel market indicators look good in the October data, but the trends took a turn for the worse. In the data released in October, our view of the present situation is that 47.2 percent of the 36 indicators are historically positive with only 19 percent negative. The balance are within the band of historically normal. […]
Consumers’ view of the current economy surged in October, reports The Conference Board. Its composite value of consumer confidence in October was 125.9, up from 120.6 in September. The last eight months have each been better than at any time since 2001. The three-month moving average (3MMA) increased from 120.3 in September to 122.3 in […]
Growth of U.S. Gross Domestic Product in the third quarter appears to have maintained the strong performance of the second, according to the first estimate of 3Q GDP growth released Friday by the Bureau of Economic Analysis. Growth was reported to be 2.98 percent quarter on quarter and 2.26 percent year on year. (At the […]
Since Sept. 20, there have only been two days when the spot price of West Texas Intermediate (WTI) closed below $50, which is a positive sign for steel. The prices of oil and natural gas drive the consumption energy-related steel products including oil country tubular goods, pipe fittings and well head equipment, among others. A […]
The value of the U.S. dollar has seen a turnaround that began on Sept. 8. From Jan. 3 through Sept. 8, the Broad Index value of the U.S. dollar depreciated by 9.3 percent. But the value rebounded by 2.9 percent from Sept. 8 through Oct. 20. (Please see the end of this report for an […]
Economic indicators of manufacturing activity are still healthy overall and portend well for the balance of this year. This report summarizes seven data sources that describe the state of manufacturing in the U.S. We have reported on most of these separately in our Steel Market Update publications, and therefore will be brief in this summary. […]