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 […]
Ferrous scrap prices are up another $20-30/GT in January, on top of similar increases the prior two months, lending support to the finished steel price increases announced this week. Sources put January scrap prices around the following: Shred, $315-330; HMS, $270-275; Bush, $320; and Plate, $285- $310 per ton. Scrap prices typically rise in January […]
By CRU Senior Analyst Ryan McKinley, from CRU’s Steel Metallics Monitor The CRU metallics price indicator (CRUmpi) rose by 5.9 percent m/m to 223.5 (see chart) following price increases in nearly every market, the highest level since August 2019. Solid scrap demand has offset better than seasonally typical supply due to mild winter weather in the Northern Hemisphere. […]
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 or comments […]
By CRU Research Analyst Eduardo Tinti and Senior Analyst Erik Hedborg, from CRU’s Iron Ore Costs Following suspensions of iron ore production in Minas Gerais, Vale’s Northern System located in the Pará state will account for a growing share of the company’s total production. Despite some supply issues in 2019, production is ramping up and […]
By CRU Analysts, from CRU’s Bulk Ferroalloys Monitor U.S. finished steel prices have risen following price increase announcements that found support from service center restocking. Adding to this price support was the scrap market, where scarcer supply and increased mill demand put prices on an upward trajectory. Some steel products have enjoyed quicker price gains […]
By CRU Senior Analyst Erik Hedborg, from CRU’s Iron Ore Market Outlook Iron ore prices rose sharply in the past week as Chinese restocking has continued and concerns about a cyclone forming northeast of Pilbara have increased. On Tuesday, Jan. 7, CRU has assessed the 62% Fe fines price at $95.5 /t, up $4.5 /t […]
At the end of August, Steel Market Update will host our 10th SMU Steel Summit Conference. Our conference will be the largest flat rolled and plate steel event in North America during this calendar year. The 2020 SMU Steel Summit Conference is going to be our best attended and most informative conference yet as 1,200 […]
At the end of August, Steel Market Update will host our 10th SMU Steel Summit Conference. Our conference will be the largest flat rolled and plate steel event in North America during this calendar year. The 2020 SMU Steel Summit Conference is going to be our best attended and most informative conference yet as 1,200 […]
The three themes which will run through CRU analysis this year: China’s economic re-balancing, FX currency movements, and Environmental and Social Governance. 2020 brings opportunities and challenges for commodity markets. CRU has drawn on conversations between our market experts and people from all parts of commodity market value chains—from miner to end-use consumer—and we have […]
Climate change is moving up the political agenda in countries around the world, putting increasing pressure on industries such as steel to reduce greenhouse gases. Globally, the steel industry is responsible for around 5 percent of total CO2 emissions. Steelmakers are responding with plans for mills that run on solar or wind energy and are […]
By Peter Ghilchik, Head of CRU Multi Commodity Analysis and Production, from CRU’s Global Steel Trade Service CRU expects a return to commodity demand growth in 2020, albeit a weak recovery, as industrial production growth recovers to 2.2 percent; however, risk is heavily weighted to the downside. Economic uncertainty, weak demand and an increasing focus on […]
First issue of the New Year. For that matter, today is the first issue of the new decade. It will probably take awhile to get used to 2020 vs. 2019. Of course, with the political climate and it being an election year, maybe we will have 2020 ingrained in our heads sooner rather than later. […]
By CRU Chief Economist Jumana Saleheen, from the CRU Steel Sheet Products Market Outlook Global Economic Outlook: 2019 has been an eventful year. Many decisions were taken, including tariffs and monetary policy easing. Other decisions were put-off, such as Brexit and auto tariffs. Looking back to our expectations at the start of 2019, four things […]
By CRU Senior Cost Economist Ross Cunningham, from CRU’s Economic Outlook Political uncertainty equals big losses for Americas currencies. During the latter half of 2019, currencies in key South American economies have lost significant ground against the dollar. Since these economies depend on commodity exports for their growth, the negative effects of the trade war […]
Welcome back from the Christmas Holidays. This is the 149th Executive level issue of Steel Market Update produced during calendar year 2019. It is also anticipated to be the last Executive issue prior to the New Year. On Monday we will publish our last Premium issue of the year, our 49th for 2019. Christmas and […]
By CRU Analyst Sam Grant, from CRU’s Zinc Monitor The North American market (U.S., Canada and Mexico) accounts for approximately 9.6 percent of global refined zinc demand. This year, we have seen a sharp slowdown in both global trade and industrial production, with the North American region experiencing its slowest rate of IP growth since […]
Happy Holidays! I expect this week to be a tad on the slow side as buyers and sellers of steel celebrate Hanukkah and Christmas. One year ago, benchmark hot rolled prices were averaging $745 per ton ($37.25/cwt), down from the cycle peak achieved the week of July 23, 2018, at $915 per ton ($45.75/cwt). Since […]
In Steel Market Update’s latest raw materials report, Table 1 summarizes the price changes through Dec. 18 of the five materials considered in this analysis. It reports the month/month, 3 months/3 months and 12 months/12 months changes on a percentage basis. Four of the five materials under consideration had a positive price movement in December. […]
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 […]
By CRU Prices Analyst George Pearson, from the CRU Steel Sheet Products Monitor Sheet prices in the U.S. were mixed this week. HR coil at $555 was steady w/w, falling by $2 /s.ton, while CR and HDG coil products gained $26-30 /s.ton w/w after steadying last week. For HR coil, overall volume has picked back […]
By CRU Principal Analyst Matthew Watkins, from the Steel Sheet Products Market Outlook The European Green Deal for the EU was launched on Dec. 11 by the new European Commission. This is a strategy that aims both at achieving zero net emissions of greenhouse gases by 2050 and at managing the transition to that state […]
Registration for the 2020 SMU Steel Summit Conference is now open. You can register through our website: www.SteelMarketUpdate.com/Events/Steel-Summit or through the CRU website. 2020 Conference Dates: Monday, Aug. 24-Wednesday, Aug. 26 Location: Georgia International Convention Center (www.gicc.com) same location as 2019. Cost: $1,375 per person (same as 2019) with $100 per person discounts for SMU/CRU […]
By CRU Principal Economist Lisa Morrison On Dec. 13, U.S. Trade Representative, Robert Lighthizer, released a statement indicating that the U.S. and China had come to terms on a “phase 1” trade deal. The opening sentence of the USTR press release states, “The United States and China have reached an historic and enforceable agreement on […]
Steel consumption in China is expected to ease back to 881 Mt next year, down from the record 886 Mt anticipated this year, according to forecasts by China’s Metallurgical Industry Planning and Research Institute. Crude steel production is projected to mirror those figures by falling to 981 Mt in 2020 from a record 988 Mt […]
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 or comments […]
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 or comments […]
By CRU North America Senior Analyst Ryan McKinley, from CRU’s Steel Metallics Monitor The CRU metallics price indicator (CRUmpi) rose by 7.9 percent m/m to 211.1 (see chart) following price increases in nearly every market. Pervasive market tightness caused by adverse weather and higher domestic demand in major exporting markets forced buyers in import-reliant markets to accept higher […]
CNBC reported comments made by White House Economic Advisor Larry Kudlow on Tuesday saying, “The reality is those tariffs are still on the table.” This is in reference to the tweet from President Trump regarding steel from Brazil and Argentina. Steel buyers should be aware that there has not been a presidential proclamation, or anything […]
SMU Events is pleased to update the status of our popular Steel 101: Introduction to Steel Making & Market Fundamentals Workshops as well as more information on the 2020 SMU Steel Summit Conference. For those interested in attending one of our Steel 101 workshops. Our California workshop is now 90 percent full. We have approximately […]