On Thursday we reported scrap prices moved sideways on certain grades in the east and were down by as much as $30 per gross ton the further west you went. Chicago ended up the week with the weakest prices as many mills did not buy due to tepid demand and a desire to drive inventories […]
Seaborne freight is still experiencing low rates due to limited cargo volume in a general global economic slowdown, according to the latest MID-SHIP Report. Dry bulk market rates have been at historic lows this year as operators struggle with low demand and vessel oversupply. The Baltic Dry Index stood at 721 on Oct. 30, falling […]
As expected, the U.S. International Trade Commission (ITC) has made a preliminary determination that cold-rolled steel produced in seven foreign countries (Brazil, China, India, Japan, Russia, South Korea and UK) is causing or threatening to cause injury to the domestic steel industry. The Netherlands, which was also named in the antidumping suit, was dropped from […]
U.S. Steel and four other domestic steel mills filed antidumping suits on cold rolled steel against 8 countries. The following information was released to the steel community this morning (Tuesday, July 28th). In an email last night, USS incorrectly named SSAB as one of the petitioners in the CR suit. SSAB did respond to our […]
Seaborne Freight The dry bulk market may have bottomed out in May and has been steadily creeping higher during June. The Baltic Dry Index closed at 823 on Friday, June 26. The BDI peaked on November 5, 2014 when the Index was at 1484 and dropped as low as 509 on Feb. 18, 2015. The […]
MID-SHIP continues to report concerns over weak demand in the dry cargo market coupled with over-supply of ships. The drop in shipping to and from China has pushed freight rates to their lowest levels since the mid 1980s according to the May 12 MID-SHIP Report. The Baltic Dry Index (BDI) was at a low of […]
Seaborne freight is picking up slightly primarily due to the South American grain export season, according to the March 25 MID-SHIP Report. The Baltic Dry Index continues to be at a very low level. The BDI registered 448 points on March 25, climbing to 596 as of March 27. The BDI tracks dry-bulk rates based […]
The Baltic Dry Index hit a thirty-year low on February 23 registering a reading of 512. As of March 11 the index increased to a still dismal 565. The Index tracks shipping rates for dry bulk cargoes like iron ore, coal and grain and is considered a barometer for global steel trade. The MID-SHIP Group […]
The PMA and ILWU released a joint statement Friday evening that a tentative agreement has been reached on a new five year contract covering port workers on the West Coast. After nine months of trading blame for slowdowns and congestion at the ports, the White House sent Labor Secretary Tom Perez to hammer out an […]
Operations were terminated at West Coast ports by the Pacific Maritime Association over the weekend. On Monday, the ILWU issued the following statement regarding the re-opening of the ports. “West Coast ports re-opened Monday morning after employers closed the docks for two days, increasing delays for customers needing containers. The union remains focused on reaching […]
Barge activity on the lower Mississippi remains strong. Winter weather has hindered freight movement in a few northern regions and barge availability is tight in some areas, according to the latest MID-SHIP Report. Northbound barges are showing strong steel and salt cargoes. Stevedores have been working vessels as they arrive in New Orleans and elsewhere […]
“A perfect storm of congestion” is how one official referred to conditions at West Coast ports. Sitting offshore on Friday were 18 vessels waiting to dock—normally there are zero, said Philip Sanfield, Director of Media Relations, Port of Los Angeles. The congestion at the port is due to several causes, said Sanfield. Larger cargo vessels […]
The Cass Freight Index report showed a 6.3 percent month-over-month drop in shipment volume in December, in line with seasonal expectations. The peak holiday shipping season is generally July to September, but Cass Information Systems says the peak in 2014 was earlier due to concerns related to the expiration of the ILWU labor contract at […]
Negotiations between the International Longshore and Warehouse Union and the Pacific Maritime Association are entering their eighth month. Rhetoric between the two parties has heated up in the past few weeks with the PMA blaming the ILWU for the slowdowns and congestion at the Western ports and the ILWU blaming the carriers and accusing PMA […]
Railroad traffic increased in November for both carload and intermodal volume. Class 1 freight railroads carried 1,161,820 carloads in November, up 1.4 percent year-over-year, according the American Association of Railroads. Intermodal traffic in increased by 2.7 percent with a weekly average volume of 258,765 containers and trailers for the month, the highest level in history […]
Ports around the U.S. report steel shipments continue to be strong but congestion at the terminals remains a problem. In the Port of New Orleans iron and steel imports totaled 2.2 million tons in the first eight months of this year—up 84.8 percent from the same period in 2013. “We don’t have November numbers as […]
Freight shipments, especially imports, are on the climb as the nation looks toward an economically stronger holiday season. The Cass Freight Index, which follows freight expenditures and shipment volumes, showed shipments increased in October by 3.3 percent year over year but fell 0.9 percent on a monthly basis. The slide, says Cass Information Systems, is […]
Steel Market Update (SMU) was reading the most recent Armada Corporate Intelligence report where they referred to the railroad carload statistics as the “secret weapon” known to the big names in the investing business. The Association of American Railroads (AAR) weekly reports are followed by Armada because, “…it will give you weeks of warning about […]
First thing I want to say is everyone needs to be aware that the market is plum full of rumors and half-truths. There are rumors about dumping suits, Severstal sale, pricing (going both ways) and more. When you hear something question the source, see if there is anything in writing or if the information can […]
Both Industrial Production (IP) and Manufacturing Capacity Utilization are reported in the Federal Reserve G17 data base. The IP index was reported as 102.744 for April, with a three month moving average (3MMA) of 102.83. This was the fifth consecutive month for the index to exceed the pre-recession peak of September 2007. The 3MMA has […]
Construction on the $5.2 billion Panama Canal expansion continued at a reduced rate on Monday despite threats by contractor consortium Grupo Unidos por El Canal, S.A. (GUPC) that work would be suspended due to lack of payment by the Panama Canal Authority (PCA). The Spanish controlled consortium was hired to build the third set of […]
Each month the Bureau of Labor Statistics puts out its series of producer price indexes, for thousands of goods and materials. The latest release on Thursday reported October results. These statistics are a useful way to evaluate any changes in the competitive position of steel against competing materials. For the purpose of this report, SMU […]
Each month the Bureau of Labor Statistics puts out its series of producer price indexes, for thousands of goods and materials. The latest release on Friday reported August results. These statistics are a useful way to evaluate any changes in the competitive position of steel against competing materials. For the purpose of this report, Steel […]
Economy Moving in Right Direction but Not Firing on All Cylinders WASHINGTON, D.C. – August 8, 2013 – The Association of American Railroads (AAR) today reported that total U.S. rail traffic was mixed for July 2013, with intermodal setting a new July record for average weekly volume and carload volume decreasing slightly overall compared with July […]
Written by: Peter Wright Producer price indexes, (PPI), of sheet steel and competing materials. Each month the Bureau of Labor Statistics (BLS) puts out its series of producer price indexes, for thousands of goods and materials. The latest release on Thursday reported February results. Some of the PPI are helpful in monitoring the competitive price […]
“No demand- it is like raising ticket prices to see a last place team.” – Service Center Domestic mill price increases have a way of touching the nerve of the steel community. Whenever there is a price increase announcement and Steel Market Update (SMU) conducts our next steel market survey – we tend to gather […]