Final Thoughts
Final Thoughts
Written by John Packard
April 10, 2019
Registrations continue to pour in for the 2019 SMU Steel Summit Conference. Here are a few of the latest registrations from this week (those with an * mean more than one person registered from that company): Ryerson*, Whirlpool, Rheem*, JFE Shoji Trade America, Wallner Expac*, Ram Steel Framing, Oshkosh Corporation*, JSW Steel USA* and Midrex Technologies. As mentioned previously, I believe we are now over 300 executives registered for this year’s premier networking and information event for the steel industry. To register for the 2019 SMU Steel Summit Conference, go to www.SteelMarketUpdate.com/events/steel-summit
Another reminder to keep your innovative younger employees in mind for the NextGen Awards, which will be part of this year’s conference. We want to recognize and celebrate the excellent emerging leaders in manufacturing, steel distribution, steel mills, toll processors and related steel user companies. Our intention is to offer essentially half-price registration to any young executive nominated for the SMU NextGen Awards. Over the next few weeks we will be rolling out more details about the awards, the nomination process, selection process and how to take advantage of our half-price offer for nominees. Stay tuned.
Speaking of young talent – what better way to reward your new people as well as those who have been with your for a number of years than to send them to one of our Steel 101: Introduction to Steel Making & Market Fundamentals workshops. We have one coming up on May 14 & 15 in Davenport, Iowa. As part of the workshop, we will be touring the SSAB minimill, which is located about 30 minutes away from the hotel where our classes will be held. The workshop provides an excellent learning and networking experience for people in purchasing, sales, logistics, claims, inventory management and planning, marketing, finance or other areas of the company where a working knowledge of the steelmaking process is helpful. You can learn more about our workshop at www.SteelMarketUpdate.com/events/steel101
As always, your business is truly appreciated by all of us here at Steel Market Update.
John Packard, President & CEO
John Packard
Read more from John PackardLatest in Final Thoughts
Final Thoughts
Another day, another massive gap between the news and market sentiment. On the news side, we’ve got war in the Middle East. The devastation facing western North Carolina coming into tragic focus. And the outcome of the presidential election remains a coin toss, according to current polling.
Final thoughts
There are markets where the headlines and the prices are both crazy. This does not appear to be one of them, at least not yet.
Final thoughts
Washington loomed large in our surveys this week. Two things actually: the upcoming presidential election and the trade case against imported coated products from 10 nations.
Final thoughts
Thanks to everyone who attended our Steel Hedging 101 workshop in Chicago on Wednesday. I learned a lot from StoneX Group’s Spencer Johnson, who instructs the course, and from your good questions. One thing that Spencer said sticks with me as I write this column. Namely, that momentum drives steel prices more than other commodity markets. If you watch steel futures, you’ll see up days and down days. But it’s rare to see the momentum shifting back and forth within any given day.
Final thoughts
SMU's prices ranges for flat-rolled steel were mostly sideways on Tuesday even as futures market shot higher. I got some questions as to why hot-rolled (HR) coil futures shot higher. As best as I can tell, it might have been in response to news that China plans to roll out stimulus measures. We have details on those measures here thanks to our colleagues at CRU. The chart below gives you some idea of just how sharply upward the move in HR futures was earlier on Tuesday: