Global steel demand will top 1.75 billion metric tons by the end of next year, despite economic headwinds in many parts of the globe, predicts the World Steel Association in its April 2019 Short Range Outlook. Worldwide, steel demand will increase by 1.3 percent this year to 1,735 Mt, followed by further 1 percent growth […]
A six point increase to 10.1 in the general business index of the Empire State Manufacturing survey indicated a modest rise in manufacturing activity in April. New York manufacturers reported a slight rise in new orders and shipments. The new orders index rose to 7.5 from 3.0 in March, while the shipments index increased to […]
Net job creation in March totaled 196,000, an increase from an upwardly revised 33,000 in February. January was revised up by 1,000 to 312,000. Rising employment and wages are the main contributor to GDP growth because personal consumption accounts for almost 70 percent of GDP. Steel consumption is related to GDP; therefore, this is one […]
U.S. manufacturing lost jobs in March, but has had strong job growth in the last 12 months. In March, 182,000 jobs were created in the private sector and government added 14,000, reports the Bureau of Labor Statistics. Table 1 breaks total employment down into service and goods-producing industries and then into private and government employees. […]
The International Monetary Fund has reduced its estimate of U.S. GDP growth for 2019, but increased it in each year 2020 through 2024. The IMF updates its World Economic Outlook (WEO) in April and October each year. On April 9, the following was published in the IMF blog: “After strong growth in 2017 and early […]
By CRU Principal Analyst Matthew Watkins. In the event of a no-deal Brexit, the key short-term impacts on the European steel market are likely to be increased delays for material crossing the UK-EU border as well as modifications to the EU safeguard system. Beyond short-term behavior such as stockpiling, there are possible longer-term effects, perhaps […]
Material Sciences Corporation was honored with a 2019 Automotive News PACE Award for its MSC Smart Steel®, a new multilayer steel laminate engineered as a direct substitute for low carbon stamped vehicle body parts. Offering up to a 35 percent mass savings compared with same-thickness standard steel, MSC Smart Steel is produced as a coil, […]
For all of you golf fanatics, it was fun to see Tiger Woods win after a 14-year drought at the Masters, and after his serious back injuries that made it look doubtful if he would ever be able to play again, never mind win a Masters Championship. I don’t have the exact count of current […]
Steel Market Update conducted an analysis of flat rolled and plate steel market trends last week. One of the key trends we watch closely is the relationship between how service centers are handling spot prices to their customers and what support is being given to domestic steel mill price increases. With the two increases announced […]
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 made by […]
By CRU Chief Economist Jumana Saleheen The market had hoped that China would unveil a large stimulus package at the March NPC, but any expectation of a large boost to world growth and commodities demand has not come, yet. The current stimulus package is smaller, less potent and less positive for commodities demand than previous […]
U.S. Steel Mon Valley is not producing pig iron due to an accident at their #1 Blast Furnace and the reline of the remaining furnace. According to U.S. Steel spokeswoman Meghan Cox, there was an issue with the top charging equipment in Blast Furnace #1 at the Edgar Thomson Plant. Sources told SMU that a […]
A new national poll shows that voters want infrastructure to be the top priority for Congress and the president, says the Alliance for American Manufacturing. In the AAM national survey conducted by the Mellman Group and Public Opinion Strategies, 80 percent of 1,200 likely voters in the 2020 general election chose repairing roads, bridges, water […]
Registrations continue to pour in for the 2019 SMU Steel Summit Conference. Here are a few of the latest registrations from this week (those with an * mean more than one person registered from that company): Ryerson*, Whirlpool, Rheem*, JFE Shoji Trade America, Wallner Expac*, Ram Steel Framing, Oshkosh Corporation*, JSW Steel USA* and Midrex […]
A surprising two out of three respondents to Steel Market Update’s market trends questionnaire last week said they are not concerned about the direction of steel prices, at least in the short term, though some question the staying-power of current demand. Steel Market Update asked: “Foreign steel imports are dropping and the domestic mills are […]
Sales of HVAC products remain fairly strong in most parts of the country, but prices don’t fully reflect that demand, reported members of the Heating, Air-conditioning and Refrigeration Distributors International in their monthly conference call. “I still think the market is fragile,” commented one HARDI member. “The mills have a lot of fundamentals in their […]
A comment from a steel buyer today as we discussed steel prices, “That’s what I like about the steel business, there is always a new dynamic.” Put another way by one of my trading mentors a number of years back, in the steel industry prices are either going up or they are going down, there […]
U.S. Steel has completed repairs to the desulfurizing equipment for the coke ovens at the Clairton Plant in Pennsylvania following a fire in December. A Christmas Eve blaze caused significant damage to the gas processing equipment, releasing sulfur dioxide emissions at nearly five times the allowed amount. Said the company in a statement April 4: […]
By CRU China Analysts China released a slew of stimulus measures during the NPC and CPPCC meeting in March in order to avoid a material slowdown in economic growth in the short term. Further and more substantial cuts to VAT rates were one of those measures. This followed an earlier VAT reduction from 17 percent […]
Union Partners has expanded its portfolio once again with the acquisition of National Metalwares, L.P., an Aurora, Ill., manufacturer and fabricator of OEM steel tubing, tubular products and welded assemblies. National Metalwares uses robotically automated and flexible manufacturing cells to meet customer demands. As a highly vertically integrated company, NMLP produces its products in-house with […]
The U.S. manufacturing sector lost 6,000 jobs in March primarily due to employment losses in the auto industry. In February, the sector gained 1,000 jobs, but was far below the average of 22,000 jobs gained per month in the prior 12 months. Alliance for American Manufacturing President Scott Paul said of the latest employment figures: […]
I’m going to give you more than advertisements in tonight’s Final Thoughts. I have been struggling with our SMU Price Momentum Indicator. It appears that each product has a life of its own, and I need to do a deeper analysis of each to determine where my Momentum Indicator needs to be. Right now, I […]
Editor’s note: Chris Kuehl of Armada Corporate Intelligence, a highly regarded economist and popular speaker, will once again make an appearance at Steel Market Update’s annual Steel Summit, scheduled for Aug. 26-28 in Atlanta. Click here for more information about the conference or to register. Below are excerpts of his recent comments on the likelihood […]
The Canadian International Trade Tribunal recommended on Wednesday that five of seven provisional steel safeguards, imposed by the government following the imposition of Section 232 tariffs by the U.S., be removed. A CITT inquiry concerning the importation into Canada of heavy plate, concrete reinforcing bar, energy tubular products, hot-rolled sheet, pre-painted steel, stainless steel wire, […]
Durable goods orders fell 1.6 percent in February, according to the latest Department of Commerce report. Core capital goods orders, which exclude defense and aircraft and are considered a measure of business investment, slipped 0.1 percent after a revised increase of 0.9 percent in January. Orders and shipments for primary metals and fabricated metal products […]
Construction spending increased 1.0 percent in February following a 2.5 percent gain in January, reported the Associated General Contractors of America in its latest analysis of government data. Construction spending totaled $1.32 trillion in February, up 1.0 percent from the January rate and a gain of 1.1 percent compared to February 2018. Public construction accounted […]
This morning SMU was speaking with one of the e-commerce companies regarding their business and some of the challenges they see when dealing with companies buying and selling steel through their platform. One of the pitfalls recognized by the head of the e-commerce site was the lack of use of proper nomenclature for the products […]
Earlier this week Steel Market Update was speaking with one of the e-commerce companies regarding their business and some of the challenges they see when dealing with companies buying and selling steel through their platform. One of the pitfalls recognized by the head of the e-commerce site was the lack of use of proper nomenclature […]
Global manufacturing had another weak month in March. The J.P. Morgan Global Manufacturing PMI was unchanged from February at 50.6. with components of the index either flat or seeing only slight changes. Output and new export orders inched downward. Prices were relatively stable in March with no change on the input prices index and output […]
The March ISM manufacturing PMI bounced back from a two-year low recorded in February. The Index rose to 55.3 from 54.2 supported by gains in new orders and employment, said Timothy Fiore, chairman of the Institute of Supply Management business survey committee. Indexes for new orders and production rose 1.9 and 1.0 percentage points to […]