Steel Market Update’s hot-rolled coil price was at $1,050 per ton ($52.50 per hundredweight) last week. Several mills are now offering hot band at $1,200 per ton ($60 per cwt). I don’t know where things will settle when we adjust prices on Tuesday. But I think it’s fair to say that prices will be significantly […]
In a letter to the White House on Thursday, the American Trucking Associations called on the Biden administration to boost domestic energy production and take other steps to provide relief at the pump for truckers and other motorists. Fuel is the second largest operating expense for trucking fleets, and surging diesel prices threaten to decimate […]
The global steel industry will see ripple effects from the war in Ukraine for years to come. Its direct and indirect effects will cut European steel capacity by 30-40% in the near term as the conflict disrupts the flow of natural gas and steelmaking raw materials – most notably steel slabs from Russia, said Johnny […]
By Trade Attorney Lewis Leibowitz (Editor’s note: The following views are those of the author and do not necessarily reflect the opinions of Steel Market Update.) A bit over a week into the new world order (i.e., the Russian invasion of Ukraine) and things are proceeding, but slowly. We have all been following the conflict—but […]
The number of active oil and gas drill rigs in the U.S. and Canada was flat or fell this week after gains in prior weeks, according to recent data released by oilfield services company Baker Hughes. The active drill rig count is important to the steel industry because it is a leading indicator of oil […]
By Trade Attorney Lewis Leibowitz Albert Einstein is reputed to have said that time is the “fourth dimension” because you cannot tell where you are except by knowing “when” you are. The onset of war in Europe is “when” we are right now. As I write, there is a battle for control of Kyiv. Because […]
By CRU Multi Commodity Analyst Alex Christopher and Research Analyst James Mills, from CRU’s Steel Monitor, Feb. 17 The only certainty about the heightened state of East-West relations playing out over Ukraine is that the stakes are high. The gulf between Russian security concerns and guiding principles of NATO, the EU, and western liberalism are […]
The number of active oil and gas drill rigs continues to recover in both the U.S. and Canada, according to recent data released by oilfield services company Baker Hughes. The active drill rig count is important to the steel industry because it is a leading indicator of oil country tubular goods (OCTG) demand. The number […]
Reliance Steel & Aluminum Co. “finished the year strong with record financial performance across nearly every metric,” CEO Jim Hoffman said during the service center’s earnings call on Thursday. Reliance reported record annual gross profits of $4.49 billion on record annual sales of $14.09 billion for full-year 2021. The fourth quarter was also the best […]
Cleveland-Cliffs Inc. might shut a blast furnace this year, the company’s top executive said. “When we make a move, we make a move. … You might see a blast furnace going down for good still in 2022,” Cliffs Chairman, President and CEO Lourenco Goncalves said during a fireside chat at the Tampa Steel Conference this […]
2022 is shaping up to be a good year for energy tubulars. With the U.S. economy near pre-pandemic levels, demand is up for oil and gas – and the oil country tubular goods (OCTG) and line pipe needed to deliver them. Rising energy prices are spurring increased drilling, while declining steel prices are lowering the […]
After the close of the market today, Canada’s Russel Metals reported net earnings of $432 million (U.S. $340 million) on annual revenues of $4.2 billion (U.S. $3.3 billion) for fiscal year 2021. That’s a big improvement from earnings of just $25 million (U.S. $20 million) on revenues of $2.7 billion (U.S. $2.1 billion) in 2020 […]
The Energy Information Administration’s February Short-Term Energy Outlook (STEO) continues to predict a wide range of potential outcomes for future global energy consumption, due to the ongoing pandemic recovery and evolving effects of consumer behavior. EIA forecasts oil prices to remain near current levels in the coming months, while natural gas prices could experience volatility as winter temperatures drive demand and prices. Spot […]
Cleveland-Cliffs Inc. is expected to take an approximately 80-90 day planned outage on the No. 5 blast furnace at its Cleveland Works starting in mid to late March, according to market participants. The outage is expected to last until roughly mid-June. It is not expected to impact customers because the Cleveland-based steelmaker can stock slabs […]
The number of active oil and gas drill rigs continued to recover in both the U.S. and Canada this past week, according to data released Friday by oilfield services company Baker Hughes. The rig count is important to the steel industry because it is a leading indicator of oil country tubular goods (OCTG) demand. The […]
By Greg Wittbecker, Advisor, CRU Group Given the fact that the standoff in Ukraine is ongoing, we thought it appropriate to stay on this theme of Russian aluminum supply and how the Russians try to overcome sanctions. The Ties that Bind Us Together – Russia and China Russia and China have a long association going […]
Algoma Steel Group Inc. has awarded GE Gas Power (GE) the contract to upgrade its natural gas combined cycle power plant to support the power requirements of the steelmaker’s new electric arc furnace (EAF). The Sault Ste. Marie, Ontario-based steelmaker said the upgrade, which includes the installation of two gas turbine packages, is expected to […]
By Trade Attorney Lewis Leibowitz We are hearing a lot about “managed trade” these days from economists, pundits and politicians. It’s time to step back and think about the pros and cons of that concept. First, we should define the term “managed trade.” Trade is usually conducted between private parties for their mutual gain. Governments […]
Reflecting higher energy prices, the number of active oil and gas drill rigs increased in both the U.S. and Canada this past week, according to data released Friday by oilfield services company Baker Hughes. The rig count is important to the steel industry because it is a leading indicator of oil country tubular goods (OCTG) […]
The Energy Information Administration’s January Short-Term Energy Outlook (STEO) continues to reflect high levels of uncertainty for future global energy consumption due to the ongoing pandemic recovery, impact of the Omicron variant, and unpredictable winter weather. EIA forecasts oil prices to remain near current levels throughout 2022, while natural gas prices could experience volatility as winter temperatures drive demand and prices. […]
By Trade Attorney Lewis Leibowitz Tomorrow in Geneva, the U.S., Russia and Ukraine will start talks that could defuse, or not, the threat of war in Europe. Of course, a war has been going on between Russia and Ukraine for a while. In 2013, Viktor Yanukovich, then Ukraine’s president, rejected an agreement that would have […]
The number of active oil and gas drill rigs increased in both the U.S. and Canada this past week, according to data released Friday by oilfield services company Baker Hughes. The rig count is important to the steel industry because it is a leading indicator of oil country tubular goods (OCTG) demand. The number of […]
By CRU Research Analyst James Mills and Multi Commodity Analyst Alex Christopher, Jan. 6 The synchronized rise in commodity prices in 2021 prompted some market commentators to speculate the beginnings of a “supercycle.” At CRU, we are more cautious. In the past year, commodity prices have been more volatile than in the preceding years, with […]
By CRU Senior Analyst Atul Kulkarni, from CRU’s Global Steel Trade Service, Jan. 31 The global steel industry is going to witness a transformation in terms of technology and operating practice due to decarbonization pressure. However, this transition will not come without substantial costs, as all CO2 abatement pathways are forecast to be more expensive than […]
By Greg Wittbecker, Advisor, CRU Group It’s that time of year when we start looking ahead as we put the current year in our “rear view mirror.” Here are some of the things that I circulated to the CRU Aluminum Analysis team for consideration among our “top calls for 2022.” These are not officially “blessed,” […]
Steel Market Update is pleased to share this Premium content with Executive members. For information on upgrading to a Premium-level subscription, email Info@SteelMarketUpdate.com. The Energy Information Administration’s December Short-Term Energy Outlook (STEO) remains subject to high levels of uncertainty because of the unique nature of a pandemic-era economic recovery and the uncertain impact of the Omicron […]
By Greg Wittbecker, Advisor, CRU Group The massing of Russian troops on the border with Ukraine has raised tensions to a high level on the political scene. It forces us to take another look at the repercussions of new sanctions on the Russian state should Putin decide to invade. 2018 Repeated? In March 2018, sanctions […]
The number of active oil and gas drill rigs was unchanged in the U.S. this past week, while the Canadian rig count increased, according to data released Friday by oilfield services company Baker Hughes. The rig count is important to the steel industry because it is a leading indicator of oil country tubular goods (OCTG) demand. The […]
Don’t forget to tune into our next Community Chat with Jefferson Shaw, vice president of strategy for Evraz North America. The free webinar will be on Wednesday, Dec. 1, at 11 a.m. ET (10 a.m. CT). Click here to register. We’ll talk about Evraz NA’s plans to run its steel mill in Pueblo, Colo., on […]
By CRU Principal Analyst Matthew Watkins and Analyst Iris Speelmanns, part of CRU’s steel and the energy transition series When we think about hydrogen and steel, we generally focus on steel supply. Hydrogen is a possible alternate reductant, replacing coke and offering a pathway to low-CO2 steel production. But a hydrogen economy could also be a huge […]