This Key Markets Indicator report is something we produce for our Premium level clients. However, we thought that our Executive level readers would appreciate knowing… 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 […]
Steel Market Update received the following question from one of our new readers who has a specific project related to sourcing of hot rolled and cold rolled steels from outside of the United States. Based on our conversation with the reader we believe this question is being raised at this time due to the wide […]
The following article on the hot rolled coil (HRC), busheling scrap (BUS), and financial futures markets was written by Andre Marshall and Jack Marshall of Crunch Risk LLC. Here is how they saw trading over the past week: Financial Markets Brexit serves in some people’s minds as the beginning of the end, the unraveling of […]
The following article is by contributing writer Damon Sun of Daido International. Several key elements has happened in the last few weeks in the ferrous markets in Asia: 1) China Customs Bureau has started inspections for alloy content in the export of billets (square bars). The export tax rebate (9%) is applicable only to alloy […]
A strong finish to the 2016 fiscal year drove annual earnings per share to a record $2.22 for Worthington Industries. Earnings for fourth quarter, ending May 31, 2016, were were $58.8 million with sales of $714.7 million. Net earnings were more than double Q4 2015 earnings of $28.9 million. “While we expect some headwinds to […]
The Broad Index value of the US $ is reported several days in arrears, the latest value we have was dated June 24th, the day that the result of the UK’s referendum became known. There was no significant move in the value of the dollar on that day which may have been published before the […]
Metalforming companies surveyed in June are expecting little change in business conditions during the next three months. The June 2016 Precision Metalforming Association sampled 120 metalforming companies in the U.S. and found most expect economic activity to remain steady. Orders are expected to remain at stable, with 51 percent predicting no change compared to 44 […]
The flat rolled markets are trying to find where, and what direction, prices should be moving. After being down slightly last week, this week prices are up slightly. There is no clear-cut focus to the market at this moment. As one service center purchasing director put it to us this afternoon, “[Pricing] is all need […]
China is threatening to file a suit at the World Trade Organization against the U.S. following the latest duty assessments against imports of cold-rolled and corrosion resistant steel products from China. The Commerce Ministry said it is deeply concerned about the protectionist policies of the U.S. steel industry and fears the large anti-dumping and anti-subsidy […]
The U.S. International Trade Commission announced Friday that it made an affirmative decision on injury to U.S. steel producers by imports of corrosion resistant steel products from China, India, Italy, Korea, and Taiwan. The USITC determined by unanimous vote that the U.S. steel industry was materially injured by the import of corrosion-resistant steel products (galvanized, […]
Leaders in the steel industry reacted favorably to Friday’s affirmative decision by the International Trade Commission (ITC)’s regarding injury to the industry resulting from the import of corrosion-resistant steel from China, India, Italy, Korea, and Taiwan. Mario Longhi, President and CEO, US Steel Corp.: “United States Steel Corporation is pleased with the International Trade Commission’s […]
The U.S. International Trade Commission (ITC) announced today (June 22, 2016) that it finds that unfairly priced and subsidized imports of cold-rolled steel flat products from China and Japan have hurt U.S. steel producers. All six commissioners voted in the affirmative. As a result, the antidumping and countervailing duties determined by the DOC in their […]
Chinese steel trade data was recently released for the month of May 2016, providing updated data on iron ore imports, scrap imports, and flat rolled imports and exports. Chinese imports of iron ore in May were 86,750,000 metric tons, an increase of 3.4 percent from the previous month and an increase of 22.4 percent from […]
The reaction to the latest round of price increase announcements out of ArcelorMittal USA and NLMK USA got one of our readers fired up. After reading Tuesday evening’s issue of Steel Market Update they penned their thoughts on price increases and imports, especially imports out of the “2nd tier guys”: I just finished reading last […]
The following article on the hot rolled coil (HRC), busheling scrap (BUS), and financial futures markets was written by Dave Feldstein. As Flack Steel’s director of risk management, Dave is an active participant in the hot rolled coil (HRC) futures market and we believe he will provide insightful commentary and trading ideas to our readers. […]
Nucor Corporation says flat rolled-trade cases are having a positive impact on reducing steel imports. The expectation is that final determinations in all three flat rolled cases will result in higher duties than currently being collected from the preliminary decisions. Second quarter results are expected to be significantly improved from first quarter due to higher […]
Over the past week Steel Market Update has been of the opinion that flat rolled steel prices may be reaching levels where a “pause” may be appropriate. Our SMU Price Momentum Indicator has been pointing toward Higher flat rolled steel prices since December 11, 2015 (6 months). Many of the reasons which caused Steel Market […]
Once a year, Steel Market Update goes to New York City to rub shoulders and swap tales with about 400 of our closest steel friends. The initial attraction is the Steel Success Strategies conference hosted by World Steel Dynamics. Over the years a number of events have been formed by steel publications, futures markets and […]
The new locks at the Panama Canal are set to open on June 26th with the passage of a single vessel, the container ship Cosco Shipping Panama. The ship selected by lottery and sailing from Greece, will pass from the Caribbean locks of Agua Clara in the morning and end in the locks of Cocoli […]
Cliffs Natural Resources’ supply agreement with ArcelorMittal “put the final nail in the coffin of Essar Steel Minnesota.” That is the opinion of Star Tribune columnist, Lee Schafer. Schafer has a point, with Cliffs gobbling up Northern steel mill contracts, Essar will have no customers even if it is able to pull itself out of […]
SMU received a couple of inquiries about sheet shipments and one of our Premium customers had a specific question about the data presented in one of our Premium supplemental issues last week. We thought that we should share the data and then present at the end the question and our response for all of our […]
According to the latest data released from the U.S. Department of Commerce and the American Iron and Steel Institute, apparent steel supply for the month of April 2016 was 8,634,917 net tons. Apparent steel supply is calculated by adding domestic steel shipments and finished US steel imports, then subtracting total US steel exports. April apparent […]
Licensed data for May was reported by the Steel Import Monitoring System of the US Commerce Department on June 3rd. An explanation of the methodology that we at SMU use to analyze the trade data is given at the end of this piece. Total rolled product licensed imports in the single month of May were […]
This report summarizes total steel supply from 2003 through April 2016 and year on year changes. It then compares domestic mill shipments and total supply to the market. It quantifies market direction by product and enables a side by side comparison of the degree to which imports have absorbed demand. Sources are the American Iron […]
Recent reports on India’s steel sector are providing mixed signals on the industry’s health. The nation’s steel industry has suffered two years of low prices and subdued demand but rising GDP and the onset of monsoons after a severe drought may stimulate new orders. “Indian steel demand rose 4.5 per cent in the financial year […]
This Key Markets Indicator report is something we produce for our Premium level clients. However, we thought that our Executive level readers would appreciate knowing why we continue to be bullish on the direction of the market based on our analysis of the Key Market Indicators. An explanation of the Key Indicators concept is given […]
The American Institute for International Steel (AIIS) publishes a monthly report on U.S. steel imports. Below is the June report covering the month of April. Falls Church, VA. June 3, 2016. Steel imports decreased by 5.6 percent from March to April, dropping to 2.46 million net tons, 30 percent less than a year earlier. Imports […]
Late this afternoon one of our readers forwarded to us an article from one of the other steel periodicals referencing foreign steel prices as “falling fast.” Steel Market Update’s perspective (and those from our steel trading sources) is different than what another periodical may be reporting. We believe that one must look at the bigger […]
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 34. Please refer to Table 1 for the view of the present situation and the quantitative measure of trends. Readers should […]
The following article on the hot rolled coil (HRC), busheling scrap (BUS), and financial futures markets was written by Andre Marshall and Jack Marshall of Crunch Risk LLC. Here is how they saw trading over the past week: Financial Markets: We are testing the highs, literally. The S&P is right up against the 2105-2210 resistance, […]