Steel Markets
New Home Sales Rebound in May
Written by Sandy Williams
June 23, 2017
New home sales in May rebounded after an April decline to a seasonally adjusted annual rate of 610,000, an increase of 2.9 percent. Median sales price increased to $345,800 and the average sales price was $406,400. Median sales price reached a record high, up 16.6 percent from a year ago.
Inventory at the end of May stood at 268,000, a supply of 5.3 months at the current sales rate. Inventory rose 1.5 percent in May, but remains low due to a shortage of available lots.
Regionally, sales increased 13.3 percent in the West and 6.2 percent in the South on a month-over-month basis. Sales plunged 25.7 percent in the Midwest and 10.8 percent in the Northeast.
“This month’s report is in line with our forecast, and consistent with solid builder confidence readings,” said National Association of Home Builders Chief Economist Robert Dietz. “With more consumers entering the market, further job growth and tight existing home inventory, the new home sector should continue to expand.”
Sandy Williams
Read more from Sandy WilliamsLatest in Steel Markets
CRU: Steel prices fall amid global demand weakness
The forceful headwinds bearing down on steel markets across the globe have created demand challenges and sent prices southward. The US, however, challenged the global trend.
Hot-rolled price hikes garner mixed reactions from the market
Several steel market sources say they were blindsided when mills increased spot prices for hot-rolled coils this week.
Steel market participants mull the impact of US/Mexico S232 negotiations
Steel market participants learned that negotiations between the US and Mexico include discussions about Section 232 tariffs on steel and aluminum despite President Trump’s June 3 proclamation increasing the tariffs from 25% to 50% for all steel and aluminum imports—except for those from the UK.
ArcelorMittal plans wire-drawing closure in Hamilton, shifts production to Montreal
ArcelorMittal’s (AM) Hamilton location to be shuttered, wire production shifting to Montreal.
Tariffs, ample domestic supply cause importers to shift or cancel HR import orders
Subdued demand is causing importers to cancel hot-rolled (HR) coil orders and renegotiate the terms of shipments currently enroute to the US, importers say. An executive for a large overseas mill said customers might find it difficult to justify making imports buys after US President Donald Trump doubled the 25% Section 232 tariff on imported steel […]