Steel Markets
S&P Core Logic Case Shiller: Home Prices Up 4.8 Percent in July
Written by Sandy Williams
September 29, 2020
Home prices continued to rise at a modest rate in July. The S&P CoreLogic Case-Shiller U.S. National Home Price Index reported an annual gain of 4.8 percent, compared to 4.3 percent in June. On a month-over-month basis the National Index grew 0.8 percent in July.
The 20-city composite, actually 19 cities in July due to missing data from the Detroit area, posted a 3.9 percent gain.
“The strength of the housing market was consistent nationally – all 19 cities for which we have July data rose, with 16 of them outpacing their June gains,” said Craig Lazzara, Managing Director and Global Head of Index Investment Strategy at S&P Dow Jones Indices. “In previous months, we’ve noted that a trend of accelerating increases in the National Composite Index began in August 2019. That trend was interrupted in May and June, as price gains decelerated modestly, but now may have resumed. Obviously more data will be required before we can say with confidence that any COVID-related deceleration is behind us.”
Phoenix led the nation for the 14th consecutive month with a 9.2 percent increase in July. Seattle followed at 7.0 percent, Charlotte at 6.0 percent and Tampa at 5.9 percent. “Prices were particularly strong in the Southeast and West regions, and comparatively weak in the Midwest and Northeast,” said Lazzara.
The National Association of Home Builders says an imbalance of supply and demand in the market is driving prices higher. Record sales for existing home were reported in July, but inventory fell to a 3.1 month supply, down from 3.9 months in June.
Sandy Williams
Read more from Sandy WilliamsLatest in Steel Markets
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 […]
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.