• Skip to main content

    Market Data

    Currency Update for Steel Trading Nations

    Written by Peter Wright


    The Fed once again elected not raise rates in their September 21st announcement. On the 22nd Ian Bezek had this to say: “For those who wanted decisive action, the Fed’s latest move failed to please, however, there were three dissenters against the decision – a large number for the Fed – and the vast majority of Fed members see a hike coming before year-end. Current economic data seemingly met the Fed’s standards for an immediate hike. Whether they didn’t want blame for causing market volatility ahead of an election, or other reasons, the Fed chickened out on a September hike. But, with that many dissenters, the Fed is virtually forced into making the next hike in December. The initial reaction to the news seems positive. Stocks jumped and volatility tanked. The dollar moved lower, generating enthusiasm for emerging market shares, along with commodities. Gold and precious metal miners in particular loved the Fed’s decision to forego an immediate hike.”

    On September 26th Andrew Hecht wrote, “The greenback is in neutral. It does not know which way to go. Compared to the other major currencies of the world, the dollar remains attractive from a yield perspective, but the greenback continues to go nowhere. The dollar has the most contentious election in history in front of it, but it refuses to tank. In their statement, the central bank reiterated that the case for a rate hike has strengthened. They pointed to moderate economic growth and positive employment data. They told markets that risks to the U.S. economy have diminished, and inflation is moving toward the 2 percent target rate. However, at the end of the day, despite three dissenters, the Fed decided to wait for further evidence of “continued progress” in the economy before they will finally pull the rate-hike trigger.”

    Latest in Market Data

    Drilling activity ticks up in the US, eases in Canada

    The latest tally of active drilling rigs moved marginally higher in the US, up for the first time in five weeks. Activity eased in Canada this week, according to oil and gas rig count data published by Baker Hughes. The US rig count increased to 604 rigs this week, setting an 18-month high watermark. Compared with this time last year, 56 more rigs are in operation today. Canada’s count declined by three to 223 rigs this week, easing for the first time in three weeks. Activity is up from the same week of 2025, with 32 more rigs operating today.

    SMU scrap market survey results now available

    SMU’s November ferrous scrap market survey results are now available on our website to all premium members. After logging in at steelmarketupdate.com, visit the Pricing and Analysis tab and look under the “survey results” section for Ferrous Scrap Survey results. Past scrap survey results are also available under that selection. If you need help accessing the survey results or if your company would like to have your voice heard in our future surveys, contact smu@crugroup.com.

    Market chatter: Supply, not price, dominates steel buyers’ concerns

    On Monday and Tuesday of this week, SMU polled steel buyers on an array of topics, ranging from market prices, demand, and inventories to tariffs, imports, and evolving market events. We are sharing a selection of the comments we received below, in each buyer’s own words. Before diving in, we reviewed all the responses collected and compiled these key takeaways: Respondents overwhelmingly anticipate further increases. Buyers cite limited supply, mill delays, low inventories, and steady-to-strong demand. Most say demand is generally stable to improving, with some purchasing driven by fears of higher prices or unavailable material rather than stronger underlying consumption. Most respondents report faster inventory turnover, while shortages are constraining sales and, in some cases, prompting customer allocations. Buyers increasingly see imports as a way to secure scarce material, though domestic-origin requirements, delivery timing, and pricing risks remain obstacles.

    ISM: Manufacturing sector expanded in October

    US manufacturing activity expanded for the 10th consecutive month in October, according to supply executives in the Institute for Supply Management's latest report. The October ISM Manufacturing Purchasing Managers’ Index registered 55.5%, up one percentage point from the prior month. An index reading above 50% indicates the manufacturing economy is growing, while a reading below that indicates contraction. ISM noted that the overall economy continued to expand in October for the 24th consecutive month, emphasizing that a PMI reading above 47.5% over a period of time generally indicates that the overall economy is growing.

    US steel output reaches 18-year high as South leads gains: AISI

    Domestic raw steel production surged last week, reaching its highest output in almost two decades, according to the latest American Iron and Steel Institute (AISI) figures. While the seesaw pattern continued for US production this past week, production swelled to its highest reading since Aug. 23, 2008, driven by a massive swing in the South. The increase reversed the recent downward trend, with a sharp rebound in the South accounting for nearly all the weekly gain. Production has fluctuated considerably over the past two months, reaching both an 18-year high and its lowest level since January.