TransCanada’s Keystone XL Pipeline has been on hold since 2008 waiting for U.S. presidential approval of the permit to allow the pipeline to cross the U.S./Canada border. President Obama has said he would approve the pipeline only if it did “not significantly exacerbate the climate problem.” Opponents of the pipeline are concerned the pipeline will […]
The Energy Information Administration (EIA) has just released data on global oil production for 2013. The global total was just over 90 million barrels per day (bpd). The Middle East and North America produced 27,170,000 and 19,285,999 bpd, respectively. The United States was the world’s top oil producer at 12,302,000 bpd followed by Saudi Arabia […]
Each month the Bureau of Labor Statistics (BLS) puts out its series of Producer Price Indexes (PPI) for thousands of goods and materials. The latest release on Friday reported July results. These statistics are a useful way to evaluate any changes in the competitive position of steel against competing materials and rail vs truck transportation. […]
According to Baker Hughes data from August 15th, 2014, the U.S rig count for this week is 1,913 rigs exploring for or developing oil or natural gas. This count is an increase of 5 rigs when compared to last week, with oil rigs up 1 to 1,589 rigs, gas rigs up 5 to 321 rigs, […]
Below is the latest press release issued by the The Air-Conditioning, Heating, and Refrigeration Institute (AHRI) on residential and commercial heating and cooling equipment shipments through June 2014. You may read the press release on their website here. Residential Storage Water Heaters U.S. shipments of residential gas storage water heaters for June 2014 increased 6.0 […]
Early indications, based on steel import license data, are suggesting August steel imports will once again exceed 3.5 million net tons and could go as high as 4.0 million tons. The high so far this year was May at 4.033 million net tons. May 2014 was also the highest import level seen since prior to […]
The following article was written by SMU contributing writer, Peter Brebach. Peter is the owner of Iron Angels of Colorado which is a company that deals with foreign steel and specifically with pipe and tube. SMU understands that the final vote by the ITC which was originally scheduled for today (14th) has been moved to […]
We spent the last two days canvassing as many buyers and mill sellers of steel as we possibly could. Our goal was to gather enough information so we could speak to the development of this market and the direction prices should go from here. What we found is a market that is perhaps stronger than […]
According to Baker Hughes data from August 8th, 2014, the U.S rig count for this week is 1,908 rigs exploring for or developing oil or natural gas. This count is an increase of 19 rigs when compared to last week, with oil rigs up 15 to 1,588 rigs, gas rigs up 3 to 316 rigs, […]
Today’s hot rolled coil futures (HRC) article comes to us from Andre Marshall, CEO of Crunchrisk, LLC and our Managing Price Risk I & II instructor. In his article he will review the S&P 500, copper pricing, crude oil pricing, steel, iron ore and ferrous scrap futures trading: Well the S&P 500 reached its high […]
According to Baker Hughes data from August 1st, 2014, the U.S rig count for this week is 1,889 rigs exploring for or developing oil or natural gas. This count is an increase of 6 rigs when compared to last week, with oil rigs up 11 to 1,573 rigs, gas rigs down 5 to 313 rigs, […]
On Wednesday this week the Bureau of Economic Analysis (BEA) released the advance estimate of Q2 2014 Annual Revision of the National Income and Product Accounts. In addition to the regular revision of estimates for the most recent 3 years and for the first quarter of 2014, GDP and select components were revised back to […]
Imports of steel into the U.S. fell 11.1 percent in June to 3.6 million net tons, the first monthly decline since March. Year-to-date imports of 21 million net tons were 34 percent higher than imports in the first half of 2013. SMU thought it would be interesting to read commentary on the June import data […]
According to Baker Hughes data from July 25th, 2014, the U.S rig count for this week is 1,883 rigs exploring for or developing oil or natural gas. This count is an increase of 12 rigs when compared to last week, with oil rigs up 8 to 1,562 rigs, gas rigs up 3 to 318 rigs, […]
Even though our Steel Market Update Steel Buyers Sentiment Index dropped 3 points to +62 this week, it is still well within the optimistic range and close to the record high which was set at the beginning of this month. This continued optimism is reflected when looking at Sentiment based on a 3-month moving average […]
Andre Marshall of Crunch Risk LLC has the honors this week to discuss the financial and HRC, iron ore and scrap futures markets in an attempt to make sense out of what can sometimes feel like total chaos. Financial Markets: Well we’re at all time highs again, having hit an intraday on the September S&P […]
The US Department of Commerce released steel import license data through the first 22 days of the month of July. The most recent license data supports our belief that steel imports will meet or exceed the 3.7 million net tons reported for June and could meet or exceed the 4.0 million net tons received during […]
The next shale oil and gas boom could be in Texas according to the estimates of volume of recoverable oil in the Cline Shale formation. More than 30 billion barrels of recoverable oil lie underground in Cline Shale according to studies by Devon Energy and Chesapeake Energy. It is estimated there are approximately 3.6 million […]
Explanation of data sources: The broad index is published by the Federal Reserve on both a daily and monthly basis. It is a weighted average of the foreign exchange values of the U.S. dollar against the currencies of a large group of major U.S. trading partners. The index weights, which change over time, are derived […]
According to Baker Hughes data from July 18th, 2014, the U.S rig count for this week is 1,871 rigs exploring for or developing oil or natural gas. This count is a decrease of 4 rigs when compared to last week, with oil rigs down 9 to 1,554 rigs, gas rigs up 4 to 315 rigs, […]
Based on a quick analysis of the just released July steel import license data (through the 15th of July) we see the foreign steel imports continuing at very high rates. The import data suggests we will see July imports at levels similar to that of May and June. May had the highest level of imports […]
Big River Steel will break ground on the new 1.6 million ton flat rolled mill some time later this month, according to their Chief Commercial Officer, Mark Bula. Construction of the new flat rolled electric arc furnace mini-mill was delayed for about a year as Big River Steel (BRS) had to wait until all air […]
Residential Storage Water Heaters U.S. shipments of residential gas storage water heaters for May 2014 decreased 2.4 percent, to 358,326 units, down from 367,055 units shipped in May 2013. Residential electric storage water heater shipments increased 0.3 percent in May 2014, to 346,116 units, up from 345,077 units shipped in May 2013. For the year-to-date, […]
US Steel has been one of the leaders in the push to prevent foreign oil country tubular goods (OCTG) from being unfairly traded here in the United States. US Steel recently closed two of their OCTG manufacturing facilities. One of the main reasons provided by US Steel was the flood of OCTG imports from countries […]
The following article comes from one of our contributing writers, Peter Brebach. Peter is an active trader who deals in the pipe and tube markets and understands the impact of the US Department of Commerce final determination on oil country tubular goods (OCTG). Here is what Peter has to say: The just published final determinations […]
The final determination on oil country tubular goods (OCTG) was released on Friday afternoon (Friday, July 11, 2014). The steel industry believes that a positive ruling in favor of the domestic steel industry will prompt a new round of dumping cases aimed at flat rolled products – specifically cold rolled, galvanized and Galvalume. However, these […]
The International Trade Commission and Commerce Department issued the following determination on antidumping relief on OCTG imports from South Korean steelmakers: “Today, the Department of Commerce announced its affirmative final determinations in the AD investigations of imports of OCTG from India, Korea, the Philippines, Saudi Arabia, Taiwan, Thailand, Turkey, Ukraine, and Vietnam, and CVD investigations […]
According to Baker Hughes data from July 11th, 2014, the U.S rig count for this week is 1,875 rigs exploring for or developing oil or natural gas. This count is an increase of 1 rig when compared to last week, with oil rigs up 1 to 1,563 rigs, gas rigs unchanged at 311 rigs, and […]
It is still too early in the month of July to provide a trend analysis of where we think import numbers will fall by the end of the month. The first eight days (with three being holidays) of the month saw a relatively large number of license applications but we will wait until next Tuesday […]
Many within the steel industry are looking toward Washington, D.C. to right was has been perceived as a wrong committed by South Korea against the OCTG manufacturers and supporting domestic steel mills. According to the US Department of Commerce website, the final determination is supposed to be announced on Thursday of this week so we […]