I am traveling this week. I have been in Monterrey, Mexico, where I visited the Roberto Rocca Industrial School in Pesqueria in the state of Nuevo Leon (just outside of Monterrey). I also visited the Ternium Industrial Center, which is already a major rolling facility and where Ternium is expanding capacities dramatically so the mill […]
By CRU Senior Analyst Erik Hedborg Further suspensions in Brazil lifted the iron ore market at the start of the week. Meanwhile, demand has yet to pick up in China after the National People’s Congress (NPC). On Tuesday, March 19, CRU assessed the 62% Fe fines price at $87.80 /t, up $4.40 /t w/w. This […]
Are steel prices witnessing a dead cat bounce or the beginning of a bullish reversal? The market appears split on the feline vs. bovine analogy. In other words, there is a huge divergence of thought on what is going to happen to steel prices over the next three or four months. The benchmark price of […]
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 Group’s Zinc Analysis Team Zinc’s price on the LME tracked copper and nickel sharply lower on March 8 as data showed a steep fall in overall Chinese exports in February. Even though January and February data from China can be misleading due to the New Year holiday, the contraction in export volumes rattled […]
I will be traveling all week as I head to Monterrey, Mexico, to tour the Ternium training facilities and steel mill. I will also be meeting with Cesar Jimenez, the CEO for Ternium Mexico, to discuss the new capacity they have coming onstream over the next 12-24 months. We are also working with Ternium to […]
By CRU Principal Analyst Josh Spoores As forecast, HR coil prices in the U.S. are rising – but when might they peak? Steelmakers in the U.S. have now announced their second $40 /s.ton price increase for sheet products. At CRU, we have been expecting the recent downward price cycle to turn and have been advising […]
There are reports about a myriad of meetings between the USTR, Mexico and Canada as the sides try to come to some form of resolution regarding the Section 232 tariffs on steel and aluminum. I continue to hear that the move is to not reduce the traditional level of imports from these two countries. In […]
By CRU Senior Analyst Erik Hedborg In the past week, iron ore prices continued to decline as demand in China remained weak. Steel prices continued to fall and buying activities have yet to pick up after the 13th National People’s Congress (NPC) began its annual two-week meeting on March 5. On Tuesday, March 12, CRU […]
Today, we are rolling out more of our agenda for the 2019 SMU Steel Summit Conference. The theme behind this year’s conference is “Steel in Transition.” It will provide an important forum for discussion of the key issues affecting all companies that supply or consume flat rolled and plate steels, including the steel mills, trading […]
Today, we are rolling out more of our agenda for the 2019 SMU Steel Summit Conference. The theme behind this year’s conference is “Steel in Transition.” It will provide an important forum for discussion of the key issues affecting all companies that supply or consume flat rolled and plate steels, including the steel mills, trading […]
We live in a time when nothing is as it seems and uncertainty rules the roost. This can make for a daunting task when considering when, what and how much steel you need to purchase at any point in time. It appears the second price increase announcement out of Nucor moved some of the end […]
We live in a time when nothing is as it seems and uncertainty rules the roost. This can make for a daunting task when considering when, what and how much steel you need to purchase at any point in time. It appears the second price increase announcement out of Nucor moved some of the end […]
As markets transition from one phase to another, the process can sometimes be “messy” until there is a clear direction as momentum shifts. Many steel buyers reported a higher sense of confidence that the market has “turned the corner” and will move higher from here. However, the feelings are not universally shared as some buyers […]
Ferrous scrap prices for March settled up $20/GT, report Steel Market Update sources. “The ferrous market was up $20 across the board without much deviation across the country. That puts Midwest shred at around $355-360 and busheling at $370-380. Export has rebounded this week by about $5-10 from recent sales. The most recent sale to Turkey […]
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 Principal Economist Lisa Morrison U.S. economic data for December and January are beginning to come in now that the federal government is funded for the remainder of this fiscal year, which ends Sept. 30. December housing starts showed a weak end to 2018 as the total of 1.247 million units for 2018 was […]
Ferrous scrap prices are expected to settle around $20/GT higher for March following weakness in January and February, report Steel Market Update sources. “The March domestic market seems to have $20/GT baked into it,” commented one dealer in the Northeast. “Poor inflows due to bad weather and seasonality, along with a stronger export market, are […]
By CRU Analyst Jordan Permain Iron ore prices declined for the second consecutive week as the market awaits the announcement of stimulus measures in China. On Tuesday, Feb. 26, CRU has assessed the 62% Fe fines price at $84.70 /t, down $1.90 /t w/w. Steel demand has remained weak in China in the past seven […]
In the last month, there has been a positive turnaround of raw materials prices. Table 1 summarizes the price changes through February of the five materials considered in this analysis. It reports the month/month, 3 month/3 month and 12 month/12 month changes and tells us that price movements with the exception of busheling have been […]
By CRU Latin America Analyst Thais Terzian On Jan. 25, one of Vale’s tailing dams located in Brumadinho, Minas Gerais, breached. The dam was part of Vale’s Córrego do Feijão mine and its breach tragically caused the death of several hundred people. On Jan. 29, Vale announced the suspension of production at nine mines in its […]
We are pleased to unveil the first look at the 2019 SMU Steel Summit Conference program. It has taken six months to get the agenda for this year’s conference to this point. It will be six more months of finetuning before we unleash the speakers, the videos, and the music on those who will be […]
We are pleased to unveil the first look at the 2019 SMU Steel Summit Conference program. It has taken six months to get the agenda for this year’s conference to this point. It will be six more months of finetuning before we unleash the speakers, the videos, and the music on those who will be […]
It’s Oscar night. I will try to keep my final thoughts brief. President Trump has delayed the increase in the Section 301 tariffs against China. The deadline was March 2, 2019. No new deadline has been set. However, President Xi of China will meet with President Trump in Florida in the later part of March. […]
By CRU Senior Analyst Erik Hedborg During the past week, iron ore prices fell somewhat as weak Chinese demand continued to weigh on the market. On Tuesday, Feb. 19, CRU assessed the 62% Fe fines price at $86.60 /t, down $3.70 /t w/w. Again, the Vale dam accident dominated the talks in the market. Although […]
By CRU Analyst Jordan Permain In the previous edition of CRU’s Steelmaking Raw Materials Monitor, we outlined our expectation of falling prices as coke demand would weaken once restocking after the CNY holidays finished. This turned out to be true; coke demand has been low after mills completed their restocking and, as coke production remained […]
I am chomping on the bit as today we managed to book a nationally known and widely recognized speaker who will (I hope) hold everyone in their seats until the end of our SMU Steel Summit Conference. When booking your travel to Atlanta for our conference, you will want to arrive as early Monday morning […]
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 […]
Olympic Steel reported record sales for the fourth quarter and full-year 2018. The metals service center saw net sales jump 29 percent in 2018 to $1.7 billion on higher year-over-year volume and higher average prices in all three of its report segments. Operating income more than doubled in 2018 to $57.1 million, up from $24.0 […]
By CRU Senior Analysts Erik Hedborg and Andrew Gadd CRU’s research shows that the dam breach in Brazil, as well as the recent fire at Vale’s blending terminal in Malaysia, will have limited impact on the availability of high-grade fines. Iron ore prices of all different grades have increased since the dam breach, but the […]