Steel Markets
Dodge Momentum Index Slips in April
Written by Sandy Williams
May 7, 2019
The Dodge Momentum Index, a measure of the initial report for nonresidential building projects in planning, slipped 0.5 percent in April to a reading of 144.3. The Index has been shown to lead construction spending for nonresidential buildings by a full year.
April’s slide was due to the commercial component falling 1.0 percent, while the institutional component barely grew at 0.2 percent.
“The Momentum Index has clearly lost some impetus over the last 12 months,” said Dodge Data & Analytics. “The overall Momentum Index is down 8.5 percent since April 2018, with the commercial component 4.7 percent lower and the institutional component 13.9 percent lower. However, over the past several months the Momentum Index has moved in a crab-like fashion with neither strong gains nor losses. This suggests that there continues to be a reasonably healthy number of projects in the planning pipeline to support a moderate level of construction activity in the coming months.”
There were 18 projects valued at $100 million or more that entered the planning phase in April.
Below is a graph showing the history of the Dodge Momentum Index. You will need to view the graph on our website to use its interactive features; you can do so by clicking here. If you need assistance logging into or navigating the website, please contact us at info@SteelMarketUpdate.com.
Sandy Williams
Read more from Sandy WilliamsLatest in Steel Markets
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 […]
CRU Insight: A 50% S232 tariff will raise US steel prices and shift trade flows
This CRU Insight examines how the increase in Section 232 tariffs on steel to challenging levels will lead to significatively higher prices for end consumers in the US market.
Steel market shakes tariffs off amid weak demand
Service centers and distributors contend that weak demand is to blame for the flattening of domestic steel spot prices, as reflected in Nucor Steel’s weekly Consumer Spot Price (CSP) notice. On Monday, the Charlotte, North Carolina-headquartered steel producer left prices unchanged from the previous week. Nucor has maintained prices of plate produced in Brandenburg since March 28.
SMU’s May at a glance
SMU’s Monthly Review provides a summary of our key steel market metrics for the previous month, with the latest data updated through May 30.