Steel Markets

September New Home Sales Up 3.1% After Downward Revisions
Written by Sandy Williams
October 26, 2016
New home sales rose 3.1 percent to a seasonally adjusted annual rate of 593,000 in September, according to data from U.S. Census Bureau and the Department of Housing and Urban Development. Compared to a year ago, sales of single-family houses increased 29.8 percent. The increase follows downward revisions to June, July and August.
The median sales price was $313,500 in September and the average sales price was $377,000, up 1.9 percent and 2.7 percent from September 2015, respectively.
At the end of September an estimated 235,000 houses were for sale, representing a supply of 4.8 months at the current sales rate.
Regionally, September sales were strongest in the South at 338,000 and West at 147,000. Estimated sales in the Midwest totaled 76,000 and in the Northeast 32,000. On a year-over-year basis all four regions made gains, ranging from 25.7 percent in the South to 60.0 percent in the Northeast.
IHS Global Insight economist Kristin Reynolds wrote, “Sales of new homes rose in September, but only after sizeable downward revisions to prior months, highlighting the volatility of the data. The increase is not statistically significant, but growth compared to a year earlier is positive. The third quarter was on-track to grow faster than the second quarter, but now growth will still be solid, but not accelerate from the prior quarter.” IHS expects new home sales to progress moderately through the end of 2016.
 
			    			
			    		Sandy Williams
Read more from Sandy WilliamsLatest in Steel Markets
 
		                                Buyers say plate market rejected last round of mill hikes
Participants in the domestic steel plate market said the plate market never accepted mill-issued spot price increases.
 
		                                Cliffs touts steel stamping solution to replace aluminum in automotive
Cliffs said it successfully completed a defect-free trial production of exposed steel parts using aluminum-forming equipment in collaboration with an unnamed OEM,
 
		                                Hot-rolled market anticipates no change despite mill mark-ups
Domestic sheet market participants say recent spot price hikes from NLMK USA and Nucor will do little to shake-up stagnant market conditions. Price increases in the current market On Friday Oct. 24, NLMK customers learned that the producer’s hot- and cold-rolled prices increased $50 per short ton (st) and its coated products were $100/st higher. […]
 
		                                Market sources say regional activity is dictating plate demand
Demand for plate on the spot market remains soft by comparison to years past. However, this week regional demand variations grew more pronounced.
 
		                                AISI: Raw steel production bounces back
Domestic mill production rebounded last week, according to the latest production figures released by the American Iron and Steel Institute (AISI). Production had been historically strong over the summer months before softening in early October.
