Manufacturers are optimistic in the Texas and Richmond area, according to Federal Reserve surveys. Factory activity is expanding so far in 2017 and manufacturers continue to expect improvement during the next six months. Texas Manufacturing Outlook Survey Manufacturing in Texas experienced a ninth month of expansion in March, according to the Federal Reserve Bank of […]
Essar Steel Algoma will get a third loan extension while it continues to hash out an agreement to emerge from CCAA protection. The company has another thirty day extension before its debtor-in-possession financing expires on April 30. According to the Twenty-sixth Report of the Monitor filed on March 21, the extension comes at “a critical […]
TransCanada received the go-ahead from the White House on Friday to complete the long-delayed Keystone XL pipeline. During remarks at the White House announcing the approval of the presidential permit, President Trump said: “It’s a great day for American jobs and a historic moment for North American and energy independence. This announcement is part of […]
Durable goods orders rose in February by 1.7 percent after gaining 2.3 percent the prior month. The increase beat the Bloomberg estimate of a 1.4 percent gain. Excluding the volatile transportation category, orders gained 0.4 percent. Aircraft led the increase with a jump of 47.6 percent for civilian aircraft. Core capital goods orders (excludes aircraft […]
Germany is seeking help from the European Union in its dispute with the United States regarding the alleged dumping of steel into the U.S. market. In a letter to EU trade commissioner Cecilia Malmstrom, German foreign minister Sigmar Gabriel asked the Commission to urge the United States to follow World Trade Organization rules when deciding […]
The Architecture Billings Index increased modestly to 50.7 in February pulling out of its dip into negative territory in January. The new projects Inquiry index was 61.5, up from 60.0 the previous month, and the design contract index climbed to 54.7 from 52.1. “The sluggish start to the year in architecture firm billings should give […]
The U.S. Census Bureau and the U.S. Department of Housing and Urban Development reports sale of new single-family homes jumped in February to a seasonally adjusted annual rate of 592,000, a 6.1 percent increase from January and 12.8 percent year-over-year. The median sales price of new houses sold in February 2017 was $296,200 and the […]
Three Canadian Chambers of Commerce presented their concerns about unfairly traded steel to the Federal Government’s Standing Committee on International Trade on March 21. The Sault Ste. Marie Chamber of Commerce and its counterparts from Windsor-Essex and Hamilton were joined by key Canadian steel producers including Essar Steel Algoma, Stelco Inc., Gerdau Long Steel North […]
Existing home sales slowed in February, declining by 3.7 percent from the previous month to a seasonally adjusted annual rate of 5.84 million. According to the National Association of Realtors, the rate continues to exceed year ago levels and was 5.4 percent above the sales pace reported in February 2016. The median sale price for […]
The shipping season opened on the Great Lakes this month. In general, freight shipments within the U.S. are moving without complications in March. Rate increases have been noted for most seaborne freight with the Baltic Dry Index approaching highs last seen in November 2016. Seaborne Freight The Panama Canal continues to break monthly records for […]
Steel Dynamics expects a meaningful increase in first quarter profits. Earnings per diluted share are expected to be in the range of $0.77 to $0.81 compared to $0.08 per diluted share in Q4 2016 and $0.26 per diluted share in Q1 2016. In first quarter guidance comments, SDI attributed stronger results to higher shipments and […]
More complications for Essar Steel Algoma as it nears a deadline to emerge from the CCAA protection. Union disputes and lawsuits continue to frustrate the process. Labor Negotiations Union workers were reportedly outraged by a mandate by Superior Court Justice Frank Newbould requiring parties involved in the collective agreement negotiations to keep a lid on […]
President Trump announced on Wednesday the rollback of fuel economy standards that were established by executive action near the end of the Obama administration. Speaking to automotive executives and workers in Detroit, MI, Trump said, “Today, I am announcing that we are going to cancel that executive action. We are going to restore the originally […]
Nucor Corporation increased its earnings guidance for first quarter 2017 to $1.10-$1.15 per diluted share, more than double its consolidated net earnings of $0.50 per diluted share in fourth quarter and well above analyst consensus of $0.69 EPS. Increased profitability is due to stronger performance of Nucor’s sheet and plate mills. Nucor said in its […]
The March Empire State Manufacturing Survey showed business continuing to expand at a sound pace in New York State. The general business index registered 16.4, a decline of two points from its two year high last month. The new orders index gained 7.8 points, climbing to 21.3 for its highest reading since 2009. Shipments continued […]
Housing starts in February jumped 3 percent from January to a seasonally adjusted annual rate of 1,288,000. Single family starts gained 6.5 percent to a rate of 872,000 for its highest level in nearly ten years. Housing starts for buildings of five units or more were down 7.7 percent to 396,000. Regionally single family starts […]
Robert Lighthizer faces the Senate confirmation hearings today without the congressional waiver needed to take the post of U.S. Trade Representative. A waiver is required because of a provision prohibiting individuals who worked on behalf of foreign governments in trade negotiations with the United States from becoming the U.S. trade representative. Lighthizer’s work on behalf […]
Ryerson Holdings saw a challenging year in 2016 with demand contracting but pricing improving. CEO Edward Lehner noted, “Carbon steel prices recovered from decade lows at the end of 2015, peaked in June of 2016, and deflated again in October of 2016 before starting in upward trajectory that has continued into the first quarter of […]
Turkey has filed a complaint with the World Trade Organization against U.S. countervailing duties placed on imports of pipe and tube products. Turkey requested the WTO initiate dispute consultation with the United States alleging the U.S. determination and imposition of duties was inconsistent with the WTO’s Agreement on Subsidies and Countevailing Measures (SCM Agreement) and […]
Stelco, the former US Steel Canada, took another procedural step on March 10 to facilitate the sale of the company to Bedrock Industries. Stelco filed its final Plan of Compromise, Arrangement and Reorganization with the Ontario Superior Court that addresses restructuring Stelco’s liabilities and the transaction with Bedrock. The plan “would result in the Company […]
US Steel announced it will permanently close the No. 6 Quench and Temper Mill at Lorain Tubular Operations. The line has been idle since March 2015 and will be permanently shut down by June 8. “This proposed action is a strategic decision for the company after considering a number of factors, including challenging market conditions […]
Essar Steel Algoma’s oppression case against Essar Global received mixed results in a decision by Superior Court Judge Frank Newbould. In a decision on Monday, Newbould agreed that the lease agreement made by Essar Global with the Port of Algoma (Portco) in 2014, was “unfairly prejudicial to, and unfairly disregarded, the interests of Algoma’s trade […]
The Dodge Momentum Index jumped 1.6 percent to 144.0 in February. The index, a measure of the initial planning for nonresidential building projects, made the gain from January due to an increase in institutional building activity. Planning for institutional buildings rose 4.4 percent last month while commercial planning dipped 0.3 percent. Dodge Data & Analytics […]
An antitrust lawsuit filed by indirect steel purchasers against ArcelorMittal USA, US Steel and other steel mills was dismissed in the US District Court of Northern Illinois last week. In 2008, Supreme Auto Transport LLC, based in Michigan, filed a complaint alleging that ArcelorMittal and others were among a group of steel producers who schemed […]
A US Steel worker was killed in an incident at Granite City Works on Sunday morning. The incident occurred in the rail yard around 10:00 am, said company spokesperson Erin DiPietro. No details were revealed concerning the nature of the incident and the name of the worker has not been released. Said DiPietro, “An investigation […]
An Ontario judge dismissed on Monday motions to reopen bidding for Essar Steel Algoma. Essar Capital Limited requested that SISP be reopened to allow Essar Global to submit a bid. Essar Global has the support of USW Locals 2251 and 2724 and Algoma retirees who asked the court for permission to continue discussions with Essar […]
Olympic Steel executives weighed in on steel demand, pricing, and government changes during the company’s earnings call last week. Olympic Steel CEO Michael Siegal attributes the rebound in steel pricing to “supply side dynamics combined with political optimism towards the business community after the very negative environment around the presidential campaign.” Said Siegal, “Entering 2017, […]
Is it Buy American or not? That seems to be the question of the day. President Trump signed an executive order clearing the way for the construction of the Keystone XL and Dakota Access pipelines, adding in a memorandum to the Commerce Department that the steel pipe used in construction will have to be made […]
Global manufacturing is expanding at the fastest rate in almost six years, according to the latest JP Morgan Global Manufacturing report. The PMI rose to 52.9 in February from 52.7 in January for its highest reading since May 2011. IHS Markit said February’s expansion is continuing a trend it began a year ago and indicates […]
The World Trade Organization General Council announced that Roberto Azevêdo has been appointed for a second term as Director-General. The four-year term will begin on September 1, 2017. Azevêdo, in his thank you remarks, said he believed the WTO was on the right path. He also asked members to show their support for the WTO. […]