The states compile their employment numbers independently of the Feds then both are reported by the Bureau of Labor Statistics. The results are very close. In the last six quarters since Q1 2014, the Feds reported total job creation of 4,849,000 and the states reported 4,475,000. Figure 1 and Figure 2 show the history of […]
Swedish steel company SSAB posted a loss of SEK 191 million ($22.4 million*) in third quarter. Earnings were down by SEK 600 million ($70.4 million) due to lower margins on heavy plate in North America, the costs of relining the blast furnace in Lulea, and negative currency effects. The company plans to cut approximately 500 […]
Reliance Steel & Aluminum Co. posted net income of $54.4 million in third quarter despite falling prices, decreased sales, and a restructuring charge of $55.5 million related to businesses serving the energy industry. End market demand was relatively steady in third quarter, except in the energy market where shipments dropped approximately 40 percent year over […]
Nucor third quarter earnings exceeded analyst expectations with earnings per share of $0.71 compared to estimates of $0.49. Nucor posted net income of $227.1 million, up from $124.8 million in second quarter due to a larger than forecasted LIFO credit and improved performance in the steel segment. Consolidated net sales were $4.23 billion on shipments […]
Total housing starts in September were at an annual rate of 1,206,000 which was only the second time to break 1,200,000 since the recession. The first was in June. In September the three month moving average (3MMA) was 1,163,000 which was also the second best month since the recession. The best month was last month, […]
The September Architecture Billings Index rebounded from August’s dip into negative territory. September’s ABI score was 53.7 up from 49.1 the previous month, continuing the see-saw pattern the index has shown throughout 2015. “Aside from uneven demand for design services in the Northeast, all regions are project sectors are in good shape,” said AIA Chief […]
USW workers are contesting claims by Allegheny Technologies that the mills are currently “meeting and in many cases exceeding output, quality, and safety expectations” during the lockout of regular union employees. “ATI is trying to paint a rosy picture,” said USW Vice President Tom Conway, “but all indications suggest a company that is limping along […]
USW workers are contesting claims by Allegheny Technologies that the mills are currently “meeting and in many cases exceeding output, quality, and safety expectations” during the lockout of regular union employees. “ATI is trying to paint a rosy picture,” said USW Vice President Tom Conway, “but all indications suggest a company that is limping along […]
The HARDI wholesalers held their monthly galvanized steel conference call earlier today. During the call the wholesalers provided insights into business conditions affecting the companies and discussed the status of the flat rolled steel markets. HARDI wholesalers supply galvanized sheet and coil steels to the mechanical contractors associated with residential and commercial construction in North […]
Steel Dynamics reported decreased third quarter profit as a result of high levels of low priced imports and elevated domestic inventory. SDI posted net sales of $2.0 billion for a net income of $61 million in Q3. The three percent drop in sales was due to lower pricing and reduced volume in the recycling and […]
Cliffs Natural Resources is back pedaling after CEO Lourenco Goncalves said he would shut down a plant in the Iron Range if Essar Steel Minnesota goes into production. “If they go online, I will shut down a plant up there the same day,” Lourenco Goncalves said in an exclusive interview with the Mesabi Daily News […]
NLMK USA third quarter 2015 sale volume totaled 494,000 tonnes, up 3 percent from Q2 but 7 percent below sales for third quarter 2014. Automotive demand and recovery of the construction sector contributed to the quarterly increase in sales. Hot rolled sales of 271,000 tonnes were up 2 percent from Q2 but 13 percent below […]
Esmark Inc. and Loeffel Steel Group, a steel processing and distribution service center in suburban Chicago, have announced the formation of a new joint venture. The partnership is expected to increase the commercial and operating efficiencies of the two companies and offer a broader portfolio of products and services. The new venture will operate under […]
Based on Steel Market Update (SMU) analysis of the recently released MSCI service center inventory and shipment data, total service center carbon steel shipments decreased by 55,000 tons in September to 3.105 million tons. Shipping days at 21, were unchanged from August. On a tons per day basis (t/d) shipments decreased from 150,500 tons in […]
Global steel demand will decrease by -1.7 percent to 1,513 million tonnes in 2015, according to the World Steel Association’s Short Range Outlook for 2015 and 2016. The 2015 decrease follows a gain of 0.7 percent in 2014, the same amount of growth that WSA expects to see again in 2016 as steel demand reaches […]
The Bureau of Labor Statistics (BLS) analysis of non-farm employment reported on Friday that 142,000 jobs were added in September which was well below consensus expectations of about 200,000. In addition July was revised down from 245,000 to 223,000 and August was revised down from 173,000 to 136,000. An upward revision for August had been […]
Each month the Commerce Department issues its Construction Put in Place (CPIP) data, usually on the first working day covering activity two months earlier. August data was released on Thursday October 1st. Construction Put in Place is based on spending work as it occurs, estimated for a given month from a sample of projects. In […]
Buyers and sellers of steel continued to be optimistic about business but less so than a few months ago. Since then Sentiment has been trending lower as the strain of ever lower steel prices, issues regarding demand, lower commodity prices and shrinking margins due to high inventory levels are affecting both buyers and sellers. Today […]
Cliffs Natural Resources has terminated its iron ore supply agreement with Essar Steel Algoma alleging Essar made multiple and material breaches under the agreement. “While the agreement has been terminated, Cliffs remains open to discussing supplying Essar with pellets on commercially reasonable terms consistent with a just-in-time iron ore supply arrangement,” said Cliffs in a […]
The Dodge Momentum Index, which tracks the initial planning of nonresidential building projects, gained 5.8 percent in September to register 133.5. Planning for institutional building led the increase with a 12.0 percent jump from August. Dodge Data & Analytics reports institutional planning has been on an erratic upward trend as state and local budgets recover […]
SEWICKLEY, PA – OCTOBER 6, 2015 – Esmark, Inc., a diversified holding company and parent company of Esmark Steel Group, today announced that Michael J. Bush, a Principal of Esmark Steel Group, has been named Vice President of Commercial Sales for Esmark, Inc., effective immediately. Bush will report to Esmark, Inc. and Esmark Steel Group […]
I recently had dinner with the owner of a Midwest based flat rolled steel service center. During the course of the conversation the subject of steel sales and, specifically, the development of new sales leads came up. I am sure this is a topic that many service center managers reflect upon on an almost daily […]
AIIS reports that steel imports in August dropped a significant 8.2 percent from July to total 3.02 million tons. The biggest reductions were seen in imports from the EU, Mexico and China. AIIS says the decline in steel purchase is a harbinger of slower growth for construction and the economy. The press release from AIIS […]
Flat rolled steel prices have been slipping on a regular basis for a number of months. This has created a market where buyers expect lower prices each time they order steel, even if there is only a week or two between orders. This tends to keep order sizes modest and develops a feeding frenzy between […]
Higher prices and tight inventory on existing homes are slowing home sales according to two reports released this week. Pending home sales for August, released by The National Association of Realtors, reports pending home sales retreated in August. The Pending Home Sales Index, based on contract signings, dropped 1.4 percent to 109.4 in August, compared […]
An explanation of the Key Indicators concept is given at the end of this piece for those readers who are unfamiliar with it. The total number of indicators considered in this analysis is currently 36. Please refer to Table 1 for the view of the present situation and the quantitative measure of trends. Readers should […]
New orders for durable goods in August declined by 2.0 percent month on month to $236.322 billion. This result was in line with analyst’s expectations and was a result of a decline in transportation orders, mainly civil aircraft. Orders excluding transportation were unchanged. The three month moving average (3MMA) rose by 1.3 percent. The 3MMA […]
WASHINGTON, D.C., September 24, 2015 – The Steel Market Development Institute (SMDI), a business unit of the American Iron and Steel Institute (AISI), has launched a new website that focuses on using steel for building construction. The new site, located at www.buildusingsteel.org, provides information for engineers, architects, owners, building contractors, code officials and other construction […]
New orders for durable goods in August declined by 2.0 percent month on month to $236.322 billion. This result was in line with analyst’s expectations and was a result of a decline in transportation orders, mainly civil aircraft. Orders excluding transportation were unchanged. The three month moving average (3MMA) rose by 1.3 percent. The 3MMA […]
The following is the Chicago Federal Reserve statement followed by our own graphical analysis. The CFNAI is an excellent reality check for much of the economic analysis that we routinely provide in The Steel Market Update and is also a reasonably good predictor of steel demand with a six to nine month lead. For example […]