Manufacturing has continued to reshore back to the United States this year, despite the challenges presented by COVID-19. Reshoring will continue to be an essential part of the recovery of the U.S. economy in 2021 and beyond, said Harry Moser, founder of the Reshoring Initiative, an advocacy group he formed in 2010 to bring manufacturing […]
The November employment report released Friday by the Bureau of Labor Statistics showed a net gain of 245,000 jobs, a positive move but only half of economists’ consensus expectations. The gain was down from October’s 610,000 new jobs. In the November data, September was revised up by 39,000 and October was revised down by 28,000. […]
Employment gains have slowed each month since June, with a disappointing result in November, according to Steel Market Update’s latest analysis of Bureau of Labor Statistics data. The net change in employed persons in November was 245,000. Employment gains have slowed each month since June when 4.8 million jobs were recovered. The base line against […]
U.S. industrial production, manufacturing and durable goods orders continue to improve from the coronavirus pandemic downturn earlier this year. The health of the manufacturing economy has a direct bearing on the health of the steel industry. The Industrial Production Index The IP index is a gauge of output from factories, mines and utilities. Industrial production […]
Economic expansion in November was characterized as “modest or moderate” by the Federal Reserve in its latest Beige Book. Activity slowed in Philadelphia and three Midwest districts as COVID-infection rates surged at the beginning of the month. Higher than average growth was reported for manufacturing, distribution and logistics, homebuilding, and existing home sales. Some sectors […]
Steel prices continued to climb in November on strong demand and tight steel supplies. Steel Market Update’s hot rolled price index reached $770 per ton by the end of November, up 10 percent from the beginning of the month. The SMU Pricing Momentum Indicator remained at Higher, indicating prices are expected to rise further over […]
Kevin Dempsey has been named president and CEO of the American Iron and Steel Institute by the AISI Board of Directors. Dempsey has been serving as interim president and CEO since the retirement of Thomas Gibson in June. “Kevin Dempsey has been a driving force for the steel industry’s advocacy on our key priorities for […]
Global manufacturing had its best month of the year in November, expanding for the fifth consecutive month. The J.P. Morgan Global Manufacturing PMI posted a 33-month high of 53.7 with growth in all three industry sectors: consumer, intermediate and investment. Nineteen of 30 territories reported expansion last month, led by higher output in China and […]
The ISM Manufacturing PMI dipped 1.8 points in November to register 57.5, remaining in positive territory but indicating concerns related to the latest surge of COVID-19. “Manufacturing performed well for the sixth straight month, with demand, consumption and inputs registering growth, but at slower rates compared to October,” said Timothy Fiore, chairman of the Institute […]
The Chicago Business Barometer slipped 3.6 points to 58.2 in November for its lowest level since August. New orders fell 5 points and production 1.2 points. Orders remained below pre-crisis levels, but demand varied, with some companies reporting an uptick while others saw stagnant conditions, said MNI Indicators. The backlog index rose 0.9 points, remaining […]
Orders for manufactured durable goods gained 1.3 percent in October, said the Commerce Department last week, marking the sixth consecutive month of growth. Orders totaled $240.8 billion following a 2.1 percent gain in September. Transportation orders, up five of the last six months, grew 1.2 percent to $77.1 billion. Orders for commercial aircraft and parts […]
Architecture firms report that project planning in October remained weak for the eighth consecutive month. The Architecture Billings Index rose slightly to 47.5 from September’s reading of 47.0, but any number below 50 indicates a decline in billings. The project inquiries index was a more promising sign for future business conditions, climbing to its highest […]
In an interview with Steel Market Update on Thursday, Philip Bell, president of the Steel Manufacturers Association in Washington, shared his thoughts on what the change of presidential administration means for the steel industry and SMA. Following is an edited transcript: SMU: Will the change in administration next year change SMA’s mission? Bell: As a […]
Expect another two months of uneasiness and confusion on the future of the economy, says Armada Corporate Intelligence Managing Director and Economist Chris Kuehl. Although a recovery is under way, its sustainability will depend on consumer attitude, potential lockdowns and the speed of a vaccine. In a FABTECH webinar this week, The New Global Normal: […]
Kevin Dempsey, Interim President and Chief Executive Officer of the American Iron and Steel Institute, is confident the industry trade association will be able to work productively with the incoming Biden administration in pursuit of the steel industry’s goals. “Obviously there will be a change in personality and personnel in key positions, but at the […]
Manufacturing activity expanded only slightly in New York during November, says the New York Federal Reserve. The Empire State Manufacturing Survey general business index fell four points to 6.3 indicating slowing growth in the region and widely missing analyst estimates of 13.5. Thirty-one percent of survey respondents reported that business conditions had improved, compared to […]
Editor’s note 11/17/20: The data in the “Supply Tons YTD” column on Table 3 didn’t populate correctly, and therefore, was in error. Table 3 has now been updated accordingly. Mill shipments and supply of sheet products continue to see slight yet steady growth since reaching bottom in June. This analysis is based on steel mill […]
Pathway to Low CO2: Insight into How the Steel Industry Can Decarbonize Join the next sessions in CRU’s emissions series at 9 a.m. EST on Wednesday, Nov. 11. Reducing emissions is among the top priorities of organizations around the world and presents special challenges and opportunities for the steel industry. CRU analysts will answer such […]
After declining drastically earlier in the year due to the onset of COVID-19, U.S. consumer confidence has improved, but still has a way to go. Following increases in August and September, the composite value of consumer confidence, as reported by The Conference Board, slipped slightly in October to 100.9, down from 101.8 the month prior. […]
By Tony Barnes and Andrew O. Callaghan Although the COVID-19 pandemic has caused companies in many industries to scale back various improvement projects and expansion plans, it does not appear to be slowing the adoption of advanced digital technology in the metals industry. Recent survey data, reinforced by extensive industry observation, suggests that many metals […]
Steel prices continued to climb in October as demand rose further on hot rolled, cold rolled and galvanized products. Steel Market Update’s hot rolled price index averaged $665 per ton in October, up nearly $100 over the previous month and up over $200 compared to August. The SMU Pricing Momentum Indicator remained at Higher, indicating […]
By CRU China CEO John Johnson and Economist Yingrui Wang Steel Market Update is pleased to share this Premium content with Executive members. For information on upgrading to a Premium level subscription, email Info@SteelMarketUpdate.com. China’s Five-Year Plan (FYP) is a key guide to the strategic direction of China. In this Insight we explain the significance […]
By CRU Principal Analyst James Campbell, from CRU’s Global Steel Trade Service The recent acceleration in news of a pre-approved vaccine has led us to bring forward the economic recovery to the first half of 2021. Confidence has returned and spending is resuming. An earlier-than-expected vaccine provides upside risks to our automotive and construction outlook. […]
By CRU Chief Economist Jumana Saleheen and Principal Economist Alex Tuckett, from CRU’s Steel Monitor In this Global Economic Outlook, we look ahead to 2021 and outline our top ten calls for the global economy. These include predictions on Covid-19 vaccines, world growth, the auto and construction sectors, the U.S. dollar, monetary and fiscal policy, […]
The ISM Manufacturing PMI exceeded expectations in October posting a score of 59.3 percent, a 3.9 percent increase from September and indicating factory growth for the fifth consecutive month. “The manufacturing economy continued its recovery in October,” said Timothy Fiore, chairman of the Institute for Supply Management Manufacturing Business Survey Committee. “Survey committee members reported that […]
The J.P. Morgan Global Manufacturing PMI reached a 29-month high in October, posting a score of 53.0. Manufacturing output expanded across consumer, intermediate and investment goods industries with the weakest sector consumer goods. Twenty of 26 countries in the survey saw manufacturing activity increase, however activity in Japan, Greece, Malaysia, Indonesia and Russia contracted last […]
The Global Forum on Steel Excess Capacity has called for renewed action to address excess steel capacity during a time of economic crisis. The forum offered its analysis and recommendations in its 2020 GFSEC Ministerial Report. “The pandemic has led the world economy into its worst downturn in decades,” said Valdis Dombrovskis, executive vice-president if GSFEC […]
Editor’s note 11/3/20: Some of the data as originally published in Table 1 was incorrect due to a spreadsheet error (specifically the change in shipments 3M Y/Y column). The table has been updated with the correct information below. Mill shipments and supply of sheet products have turned, albeit slightly, since reaching bottom in […]
In most regions in Q2 2020, gross domestic product, as reported by the states, declined by more than the nationally reported number. The Bureau of Economic Analysis (BEA) reports GDP by state and region on a quarterly basis. This data is released several weeks after the national report, but the BEA has committed to getting […]
The Chicago Business Barometer marked its fourth consecutive month of expansion with a PMI of 61.1 in October. The headline index eased slightly from last month’s reading of 62.4 with only new orders advancing during October, gaining just 0.2 points. The production index fell 5.9 points and backlogs eased to a two-month low. The inventories […]