Steel Markets

Housing Starts Rebound in June
Written by Sandy Williams
July 19, 2017
Housing starts in June jumped 8.3 percent to a seasonally adjusted annual rate of 1,215,000 and were 2.1 percent higher than in June 2016, said the Department of Commerce on Wednesday. The increase follows three months of decline and was driven by new construction in the Northeast and Midwest.
Starts soared 83.7 percent in the Northeast and 22 percent in the Midwest. Construction was tepid in the West with a gain of 1.6 percent from May. The South saw a loss of 3.8 percent. Single-family housing starts were 6.3 percent higher last month, while multi-unit housing jumped 15.4 percent.
Permit authorization, an indicator of future construction, grew 7.4 percent from May and 5.1 percent from a year ago for a seasonally adjusted annual rate of 1,254,000. Multi-family housing of five units or more outpaced single-family permits with a gain of 14.6 percent versus 4.1 percent.
Permit authorizations dropped 13.9 percent in the Northeast indicating that the jump in starts for the region will be short-lived. Midwest authorizations were up 19.7 percent, South 6.9 percent, and West 9.9 percent.
A June National Association of Home Builders survey showed builder confidence slipped to its lowest reading since November 2016. Builders expressed concern over rising material prices, especially lumber. NAHB Chairman Granger MacDonald said, “This is hurting housing affordability even as consumer interest in the new-home market remains strong.”

Sandy Williams
Read more from Sandy WilliamsLatest in Steel Markets

Drilling activity slows in US but picks up steam in Canada
Oil and gas drilling in the US slowed for a third consecutive week, while activity in Canada hovered just shy of the 19-week high reached two weeks prior.

SMU Survey: Buyers remain leery of tariffs, but more see reshoring happening
This week’s SMU survey reveals that a growing number of steel market participants are weary of tariffs and are awaiting evidence of progress reshoring. At the start of 2025, now-second-term President, Donald Trump, pronounced that his plan to implement tariffs would result in increased revenue for the US.

Hot-rolled coil market remains slow, market participants say
Hot rolled spot market participants reported another week of moderate demand and ample supply, with no strong signs that conditions will change next week.

Plate prices slip even as mills officially keep tags unchanged
US plate market participants are not fazed by the constricted nature of the current spot market pricing environment. Right now, they said, mill’s choosing to hold prices from one month to the next makes sense because service centers remain amply supplied and demand is stable. Modest upticks or slips in prices are aligned with most of the participants' expectations right now.

Still no cure for the summertime HR market blues
Seasonal steel slowdowns combined with ongoing anxieties about tariffs and mill strategies have dampened sentiment for several hot-rolled steel market participants this week. Buyers are jittery, market stands still The operator of a Midwest-based service center said that steel buyers are scared. “Everyone is afraid to buy steel right now. Unless you’re on a […]