Final Thoughts
Final Thoughts
Written by John Packard
March 2, 2016
When speaking to one of my steel sources earlier today I was told, “Three months ago no one cared about the steel market. Now you have to pay attention.” They went on to reference our coverage and how others in the industry need to be reading what we are producing at Steel Market Update. Obviously, I echo those sentiments.
I was speaking to a financial analyst this afternoon and they were talking about how everyone in the industry had been negative just a few weeks ago. I reminder them that I was not. Our surveys have been clearly showing an optimistic trend and improving demand situation. I have not been pessimistic as the data we have been collecting wasn’t moving in that direction. Those of you who either participate in our surveys or are Premium level members are seeing the data. If you would like to know more about how to become a Premium level subscriber please contact us at: info@SteelMarketUpdate.com. We will publish our next power point presentation tomorrow afternoon for our Premium members.
A number of comments have been made recently about the quality of the 2015 Steel Summit Conference and wanting more information about the 2016 version which will be our 6th Steel Summit Conference. We are putting together the strongest and most diverse program we have ever attempted. We have a few speakers returning from last year: Alan Beaulieu of the Institute for Trends Research along with Timna Tanners (Bank of America Merrill Lynch Research) and John Anton (IHS Global) who will continue their forecasting/debate about steel and commodity prices. We have two steel mills CEO’s who will be joining us for their 1st SMU conference: Mark Millett of Steel Dynamics and Roger Newport of AK Steel. Speaking of commodities, we have another well known and not afraid to say what’s on his mind CEO: Lourenco Goncalves, CEO of Cliffs Natural Resources and former CEO of Metals USA and before that California Steel. We have Chris Oakley, Vice President and Regional Executive for the Federal Reserve Bank of Atlanta. Also, Lawrence Kavanagh, President, Steel Market Development Institute and Mark Bula, Chief Commercial Officer for Big River Steel. They are not alone. You can find more details (and register) on our website.
Tell your friends and save the dates: August 29-31, 2016 at the Georgia International Convention Center, Atlanta, Georgia right next to the Atlanta International Airport. Our Steel Summit Conference is Quick, Reasonable, Convenient and well attended by real steel people…
As always your business is truly appreciated by all of us here at Steel Market Update.
John Packard, Publisher
John Packard
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Final thoughts
SMU had the pleasure of attending the American Iron and Steel Institute's (AISI's) annual general meeting in Washington this week. It was a slow week in our nation's capital, so we were able to take a leisurely stroll around the National Mall and take in the sights. Just kidding. In fact, the meeting coincided with significant trade actions announced by the Biden administration. It included, among other things, additional tariffs on Chinese steel and aluminum.
Final thoughts
Our spot price is little changed this week after moving sharply lower last week on the heels of Nucor’s unexpected price cut. Here’s one thought on that trend: Nucor's weekly HR price (aka, its “Consumer Spot Price” or CSP) has to date functioned almost more like a monthly price.
Final thoughts
What's the tea in the steel industry this week? Here's the latest SMU gossip column! Just kidding... kind of. Yes, some of the comments we receive in our weekly flat-rolled market steel buyers' survey are honestly too much to put into print. Some make us laugh. Some make us cringe. Some are cryptic. Most are serious. We appreciate them all. Below are some highlights from our survey results this week. Some of the comments that we can share with you are also included, in italics, in the buyers' own words, with minimal editing on our part.
Final thoughts
Last week we wrote about a brief lull in price movement, labeling it a period of wait and see. It did, in fact, turn out to be pretty brief. This week... things are little bit different. Perhaps right now we are more in a period of "hope and pray" or "Here we go, hold on to your hats."