Written by: Sandy Williams The U.S. Supreme Court has agreed to consider whether U.S. Steel union workers can be compensated for time spent changing clothes for their jobs. Currently the collective bargaining agreement does not require compensation but workers claim the law provides for the payment even if the bargaining agreement does not. The court […]
Written by: Sandy Williams A sellers market is beginning to develop, says the National Association of Realtors, as inventory drops and prices begin to rise. Existing home sales rose a slight 0.4 percent in January to a seasonally adjusted annual rate of 4.92 million from a downwardly revised 4.90 million in December. The annual sales […]
Written by: Sandy Williams >New residential housing starts slowed in January as winter gripped the U.S. Housing starts were at a seasonally adjusted annual rate of 890,000 in January, according data released by the Department of Commerce. The January figure was 8.5 percent below the December revised annual rate of 973,000, although 23.6 percent above […]
Written by: Sandy Williams Despite a record year for sales, Olympic steel reported a disappointing fiscal year with net earnings of $2.3 million after a non-cash goodwill impairment charge of $6.6 million in the fourth quarter. In comparison, net earnings for 2011 were $25.0 million. Net sales for 2012 were a record $1.4 billion, up […]
Written by: Sandy Williams Reliance Steel reported an 18 percent drop in net income of $80.4 million in fourth quarter 2012. Net income for the year rose 17.4 percent year over year to 403.5 million. Sales of $1.89 billion for the fourth quarter were 7.1 percent lower than a year ago and down 8.1 percent […]
Utilizing a trailing average hot rolled coil (HRC) price, the SMU Price MoMo Index for flat rolled steel in the U.S. remained below zero percent this week for the sixth week after eight consecutive weeks of positive momentum readings. MoMo is based upon the current hot rolled coil price weighed against the previous 12 week […]
Written by: Bradley Clark, Director of Steel Trading, Kataman Metals U.S. Midwest #1 Busheling Ferrous Scrap (AMM) Firm on Weather Concerns As the month has progressed sentiment is starting to fall solidify around the idea that busheling prices may rebound $10-20 in March. Worsening weather conditions in the Midwest and dealers trying to recoup last […]
Based on the results of this week’s survey, lead times on hot rolled and cold rolled slid slightly compared to where they were at the beginning of the month. We found aluminized to have dropped by slightly more than half a week from 6.40 weeks down to 5.83 weeks while galvanized lead times actually increased […]
Written by: Bradley Clark, Director of Steel Trading, Kataman Metals The physical HRC market continues to soften as mills offer steel at lower levels this week from a week before. The futures market has experienced a divergence in movements over the past week with the front of the curve weakening while the second half of […]
Steel Market Update (SMU) conducted our mid-February steel survey beginning on Monday and concluding on Thursday afternoon of this week. We invited approximately 685 active participants (buyers, sellers or executives) involved in the flat rolled steel segment of the industry to respond to our questions regarding market trends, pricing and Sentiment. SMU Steel Buyers Sentiment […]
Written by: Sandy Williams The American Institute of Architects (AIA) released their Architects Billing Index (ABI) which is a leading economic indicator of construction activity. The Architecture Billings Index rose in January to54.2, up from a seasonally adjusted 51.2 in December and the strongest growth since November 2007. The ABI reflects the approximate nine to […]
On days like today I am reminded of one of my steel customers who, when purchasing his original SMU membership back in 2008 told me, “I don’t know what you are going to write about in a couple of months.” I had to actually leave articles out of tonight’s issue because there was too much […]
Steel Market Update received the following information from an ArcelorMittal spokesperson this evening: On February 19, 2013, the United States Patent and Trademark Office (USPTO) posted a Notice of Allowance of a re-issue of ArcelorMittal pioneer patent US 6 296 805 on aluminum pre-coated steel product for hot stamping, worldwide known as Usibor®, confirming its […]
Residential Storage Water Heaters U.S. shipments of residential gas storage water heaters for December 2012 decreased 1.0 percent, to 360,568 units, down from 364,054 units shipped in December 2011. Residential electric storage water heater shipments decreased 6.7 percent in December 2012, to 325,435 units, down from 348,692 units shipped in December 2011. For the […]
Written by: Sandy Williams Metalforming companies are expecting a spike in business conditions during the next three months. The February 2013 Precision Metalforming Association reported that 37 percent of participants predict that economic activity will improve during the next three months (up from 32 percent in January), 55 percent believe that activity will remain unchanged […]
During our mid-February steel survey we asked those taking the survey which company (or joint venture group) was the best “fit” for the Calvert, Alabama facility of ThyssenKrupp Steel? Here are the non-binding opinions of the first two days of our survey:
The American Iron & Steel Institute (AISI) reported their estimated raw steel production data for the week ending February 16, 2013. According to AISI estimates the U.S. steel industry produced 1,814,000 net tons of raw steel last week. This represents a decrease of 0.4 percent compared to the week earlier and is 9.6 percent lower […]
Written by: Sandy Williams Australian company BlueScope Steel announced earnings for its portion of North American segment, North Star BlueScope Steel, of $33 million EBIT for the first half of FY2013 ending December 31, 2012—a 65 percent improvement over the first half of FY2012. The North Star BlueScope Steel is a 50-50 venture between BlueScope […]
The HARDI wholesalers who participate in the distribution of galvanized steel into the HVAC industry held their monthly conference call this morning to discuss the steel market. At the time of the last call held in late January, AK Steel had just announced a $40 per ton price increase and the HARDI members were waiting […]
Written by: Sandy Williams The Arkansas Senate and House questioned a panel of economic development and finance officials last week on plans for the $1.1 billion Big River Steel project in Osceola, Ark. The meetings were a preliminary step in legislature approval of a $125 million bond issue for the proposed steel plant. The state’s […]
Canadian distributors shipped a total of 522,300 tons (all products) during the month of January. This is down 6.9 percent (actual) from the previous year. The daily shipping rate was 23,700 tons per day, a marked improvement from December’s 16,900 tons per day but barely above November’s 23,600 tons per day. On a seasonally adjusted […]
U.S. service centers shipped 3,643,600 tons of steel products during the month of January, according to Metal Service Center Institute data released earlier today. Total shipments (all products) averaged 165,600 tons per day, down significantly from the 177,300 tons per day shipped during January 2012. Total tonnage shipped was down 2.1 percent on an actual […]
Flat rolled steel prices remained – well, flat – this week compared to one week ago. Steel Market Update (SMU) Price Momentum Indicator is now in its 12th week at Neutral as we watch flat rolled steel prices drift without any real pressure to move prices higher, or lower at this time. Here is how […]
Monday is technically a holiday in the U.S. but Steel Market Update offices are open. For those who are confused with my travel schedule recently – I am no longer on the west coast – I have returned to our offices on the east coast. I can be reached at 800-432-3475 or by email: John@SteelMarketUpdate.com. […]
High Steel Service Center LLC, of Lancaster, PA., recently introduced HIGHSL sheet and plate steel that is panel-flat and stress-free for laser processing. This product is new in the Mid-Atlantic Region and unique in that it helps fabricators eliminate waste, offer higher-quality products, and save cost. Produced on a new leveling line, the material will […]
An ArcelorMittal spokesperson confirmed to Steel Market Update earlier today that their Cleveland facility had a fatality on Saturday afternoon. Local press reports are reporting the fatality occurred when the 50 year old man fell off a railroad car and into the path of an oncoming train. The company provided the following information regarding the […]
According to Baker Hughes data from February 15th, 2013, the U.S rig count for this week is 1,762 rigs exploring for or developing oil or natural gas. This number represents an increase of 3 rigs from last week. Compared to last year the 1,762 count is a decrease of 232 rigs. Canadian rigs increased by […]
Written by: Sandy Williams The booming business in natural gas drilling is causing a flurry of new production facilities for the manufacture of seamless OCTG (oil country tubular goods) pipe in the United States. Most recently, Tenaris SA, a Luxembourg-based producer of steel pipes for the oil and natural gas industry, announced plans to build […]
Written by: Sandy Williams After six months of decline, the Empire State Manufacturing Survey business conditions index rose into positive territory in February. The index climbed 18 points to register 10—the highest level since July 2012. New orders picked up, rising 20 points to 13.3—the highest level since summer 2011. Shipments increased sixteen points to […]
CSN has been looking to expand their operations in the United States ever since they acquired the bankrupt Heartland Steel and turned it into CSN, LLC. The Terre Haute, Indiana rolling facility is capable of taking hot bands and converting them to either cold rolled or galvanized steel – with the vast majority of the […]