After greeting September with increased optimism, metalforming companies are now expecting business conditions to weaken slightly in the next three months, according to the October 2017 Precision Metalforming Association (PMA) Business Conditions Report. Metalforming companies also anticipate declines in incoming orders. “Ebbs and flows in productivity are a part of today’s manufacturing industry,” said PMA […]
Durable goods orders were stronger than anticipated in September, rising 2.2 percent and nearly double economists’ expectations. The volatile transportation sector drove much of the increase. Commercial aircraft orders jumped 64 percent after gaining 52 percent in August. Orders for core capital goods, which exclude defense and aircraft, rose 1.3 percent, and shipments of core […]
Economic conditions are looking positive for fourth quarter and into 2018, according to the latest report from HARDI and ITR Economics. Steel Market Update is a member of an association connected to the construction industry called the Heating, Air-conditioning & Refrigeration Distributors International. HARDI and ITR Economics, an economic forecasting company, work together to gather […]
Third-quarter job creation was severely affected by Hurricanes Harvey and Irma in the South Central and South East regions, according to third-quarter employment data by state released by the Bureau of Labor Statistics (BLS) on Friday. Economy.com summarized it as follows: “Job growth is slowing but wage growth is heating up across much of the […]
The growth in global steel production is surging, driven by construction in the developing world, according to Steel Market Update’s analysis of World Steel Association data. WSA’s October 2017 short-range outlook, while painting a generally improved picture over the April update, is no big surprise. Global steel recovery has picked up further, and there are […]
Steel Market Update is a member of an association connected to the construction industry called HARDI, which stands for Heating, Air-conditioning & Refrigeration Distributors International. HARDI and economic forecasting company ITR Economics work together to gather economic data to provide a forecast to the HARDI members in the United States and Canada. The information shared […]
China’s economy continues to show robust growth, and in August recorded its highest-ever share of total global steel production. Once each quarter, we publish the official statistics for Chinese GDP, industrial production, consumer price inflation and fixed asset investment. Currently available data is through the third quarter. Many analysts don’t believe these self-serving Party figures, […]
The Architecture Billings Index reversed course for the first time in seven months, slipping to a score of 49.1 in September from 53.7 in August. A score below the neutral 50.0 mark indicates a decrease in design services. The new projects inquiry index slid to 59.0 from a reading of 62.5 the previous month, while […]
Those who believe unfairly traded steel imports pose a serious threat to America’s security have a high-ranking ally in retired Brigadier General John Adams. In an Oct. 16 op/ed in The Hill, titled “North Korea is Distracting from America’s Steel Import Crisis,” Adams argues that the Section 232 trade case should rate headlines comparable those […]
Global steel demand growth is expected to moderate in 2018, mainly due to slowing in China, but should maintain its momentum in the rest of the world, according to a generally optimistic short-range outlook from the World Steel Association (worldsteel). The Brussels-based trade association, whose members account for 85 percent of the world’s steel production, […]
Manufacturing activity in New York State has accelerated with the headline index of the October Empire State Manufacturing Survey climbing six points to 30.2. The survey was at its highest level in three years, bolstered by an 11-point gain in shipments, putting that index at 27.5. The new orders index slipped seven points, but was […]
The International Monetary Fund updates its World Economic Outlook (WEO) in April and October each year. The introduction to the WEO released on Tuesday reads as follows: “The global upswing in economic activity is strengthening, with global growth projected to rise to 3.6 percent in 2017 and 3.7 percent in 2018. Broad-based upward revisions in […]
What goes around comes around, as they say. In the case of the ferrous scrap market, what goes around and comes around again and again are residuals such as copper that complicate the steelmaking process and threaten to erode some of the competitive cost advantage now held by minimills. Minimill steelmaking has transformed the steel […]
Tight supplies of graphite electrodes used in the electric arc furnace steelmaking process have raised electrode prices to the point that at least two stainless steel mills have increased their surcharges. Outokumpu was the first with a surcharge of 30 euros (about $35.50) per metric ton on Sept. 27 in most markets except the U.S. […]
U.S. employment contracted in September, and there was more going on than just hurricanes. The Bureau of Labor Statistics (BLS) net job creation report released on Friday was very disappointing for more reasons than the impact of hurricanes, though they undoubtedly had a big effect. Net job creation in September was negative 33,000 positions. July […]
The Steel Manufacturers Association is still confident that the Section 232 investigation on steel imports will bring relief to the U.S. steel industry. SMA President Philip Bell called the investigation a “really complex issue,” during a media call on Monday. Although the administration issued a self-imposed deadline of June 30, which it failed to meet, […]
The global steel industry continues to improve its sustainability record in environmental, social and economic performance, according to the World Steel Association 2017 sustainability report. Worldsteel surveyed 126 steel companies and six associations regarding eight sustainability indicators. The group represents 54 percent of global crude steel production for 2016 or 875 million tons of steel. […]
We are continuing our analysis to quantify the players in the global trade of both hot rolled coil (HRC) and cold rolled coil (CRC). We now have data for the second quarter of this year. This information is sourced quarterly from the Iron and Steel Statistics Bureau in the UK. It takes about 11 weeks […]
We are continuing our analysis to quantify the players in the global trade of both hot rolled coil (HRC) and cold rolled coil (CRC). We now have data through Q2 2017. This information is sourced quarterly from the Iron and Steel Statistics Bureau in the UK. Data is not very current because many countries are […]
The United States’ share of the global steel scrap trade has changed little in the two and a half years through second-quarter 2017. Steel Market Update performs this analysis quarterly to understand the gyrations of the domestic scrap market and where the U.S. stands as a global player. This data is not very current because […]
Manufacturing expanded in the United States, along with the overall economy, as the Institute for Supply Management’s September PMI jumped 2 percentage points to register 60.8 percent. ISM’s New Orders Index gained 4.3 points. New orders have averaged 61.6 percent since December 2016, said Timothy R. Fiore, chairman of ISM’s Manufacturing Business Survey Committee. Any […]
Global manufacturing stayed steady at a strong reading of 53.2 in September. The J.P. Morgan Global Manufacturing PMI was unchanged from the August reading with consumer, intermediate and investment goods all signaling expansion. Production rose, driven by new orders and international trade volumes and bumping up employment for the month. Higher input costs pushed selling […]
SMU Price Momentum Indicator is now at “lower,” meaning flat rolled steel spot prices are expected to move lower over the next 30 to 60 days. Steel prices have begun to retreat with benchmark hot rolled beginning the month at $630 per ton ($31.50/cwt) and ending the month down $20 to $610 per ton ($30.50/cwt). […]
Economic indicators of manufacturing activity are still healthy overall and portend well for the balance of this year. This report summarizes seven data sources that describe the state of manufacturing in the U.S. We have reported on most of these separately in our Steel Market Update publications, therefore will be brief in this summary. We […]
The growth of U.S. Gross Domestic Product in second-quarter 2017 was the strongest since first-quarter 2015. On Thursday, the Bureau of Economic Analysis released the third estimate of GDP growth in the second quarter. Growth was reported to be 3.06 percent quarter on quarter and 2.21 percent year on year. Economy.com had this to say […]
A sharp rise in the September Chicago Business Barometer indicates a strong fourth quarter for manufacturing. The Barometer rose to 65.2 from 58.9 in August for its second highest level in more than three years. The average reading for the third quarter was a solid 61.0, steady with the second quarter’s three-year high of 61.1. […]
Consumer confidence dipped slightly in September, but continues to be encouraging for the U.S. economy, according to The Conference Board Consumer Confidence Index. The composite value of consumer confidence in September was 119.8, down from 120.4 in August. The first estimate for August was revised down from 122.9. The last seven months have each been […]
Consumer confidence took a hit in the storm-affected regions of the South, but overall remains at high levels, which is positive news for the U.S. economy. “Consumer confidence decreased slightly in September after a marginal improvement in August,” said Lynn Franco, director of economic indicators at The Conference Board, an independent business research association based […]
Durable goods orders rose more than expected in August, picking up a gain of 1.7 percent versus a forecast for 1.0 percent, the U.S. Census Bureau announced today. The increase was welcomed after a 5.8 percent decline in July. A 45 percent jump in the volatile category of nondefense aircraft orders led the increase. Core […]
Autumn is expected to bring stronger economic activity and more work for metalforming companies, according to the latest survey by the Precision Metalforming Association. “Metalforming companies are greeting fall with increased optimism,” said PMA President Roy Hardy. “Predictions from our industry reflect the latest Bureau of Labor Statistics report which showed growth through some 36,000 […]