The European Union is adjusting its steel safeguard measures, according to a document filed at the World Trade Organization. The EU’s safeguard instrument is entering its fifth year of application. The liberalization rate, which is meant to progressively allow more import competition into the market while the domestic industry adjusts to it, had previously been […]
By CRU Principal Economist Alex Tuckett, from CRU’s Global Economic Outlook Energy costs for consumers – in the form of utility bills and the cost of filling a car – have risen sharply, but not as sharply as the cost of crude oil and natural gas. But this doesn’t necessarily mean a lot more pain […]
Editor’s note: SMU contributor Bryan Tice is a partner at Metal Edge Partners, a firm engaged in Risk Management and Strategic Advisory. In this role, he and the firm design and execute risk management strategies for clients along with providing process and analytical support. Prior to Metal Edge Partners, Bryan held a variety of commercial […]
The US labor market added 390,000 jobs in May, a robust figure but a slower pace of hiring versus the upwardly revised 436,000 additional payrolls in April. The result kept the unemployment rate unchanged month on month (MoM) at the pandemic-era low of 3.6%, the Bureau of Labor Statistics reported. Payroll gains were better than […]
Editor’s note: Steel Market Update is pleased to share this Premium content with Executive members. For information on how to upgrade to a Premium-level subscription, email Info@SteelMarketUpdate.com. The US economy surprises in May by adding 390,000 new jobs, higher than earlier estimates and despite growing concerns about economic slowdown and surging inflation. The result kept the […]
The S&P Global US manufacturing PMI – another measure of manufacturing – fell to 57 in May, its lowest level in four months, and a noticeable turn from the market improvement the month prior. Last month’s results are down from 59.2 in April and a “flash” May reading of 57.5. (Recall that a reading above […]
The outlook among purchasing managers surveyed by the Institute for Supply Management was positive in May. US manufacturing activity grew at a slightly faster rate than anticipated as the six biggest manufacturing industries registered moderate to strong growth last month. May’s Manufacturing PMI rose to 56.1%, a 0.7 percentage point gain compared to a reading […]
The US economy contracted in the first quarter of 2022 at a worse rate than expected with gross domestic production declining at a -1.5% annualized pace, according to the second estimate from the US Commerce Department’s Bureau of Economic Analysis (BEA). The second review for Q1 was a slight downward revision from its first estimate […]
US consumer confidence edged lower in May as Americans’ view of their present and future prospects dimmed in the midst of persistent inflation, The Conference Board reported. Confidence could stumble further as stubborn inflation may be around for a bit. Inflation soared over the past year at its fastest pace in more than 40 years. […]
World crude steel production rose in April, gaining ground for a second consecutive month and reaching a 10-month high. Global output was estimated at 162.7 million metric tons in April. Steelmakers around the world increased production by just 1.6 million metric tons, or 1% from March, according to World Steel Association (worldsteel) data. Although April’s crude […]
Editor’s note: SMU Contributor David Feldstein is president of Rock Trading Advisors. Rock provides customers attached to the steel industry with commodity price risk management services and market intelligence. RTA is registered with the National Futures Association as a Commodity Trade Advisor. David has over 20 years of professional trading experience and has been active […]
Steel prices eased each week in May, following increases in March and most of April. Hot rolled prices were $1,440 per ton ($72 per cwt) the first week of May, just $40 lower than the mid-April peak. Prices then slipped between $15 and $75 each of the following weeks, with the SMU index averaging $1,255 […]
The following article on the hot rolled coil (HRC), scrap and financial futures markets was written by Jack Marshall of Crunch Risk LLC. Here is how Jack saw trading over the past week: Hot Rolled Physical HR prices continue to decline at a steady pace. Spot indexes have declined almost $140/ST since the end of […]
SMU contributor Tim Stevenson is a partner at Metal Edge Partners, a firm engaged in Risk Management and Strategic Advisory. In this role, he and his firm design and execute risk management strategies for clients along with providing process and analytical support. In Tim’s previous role, he was a Director at Cargill Risk Management. Prior […]
Business activity in the state of New York sank in May, a startling result following a strong turnaround in the headline index the month prior, according to the Empire State Manufacturing Survey. The New York Fed’s Empire State headline general business conditions index – a gauge of manufacturing activity in the state – is now […]
Editor’s note: SMU Contributor David Feldstein is president of Rock Trading Advisors. Rock provides customers attached to the steel industry with commodity price risk management services and market intelligence. RTA is registered with the National Futures Association as a Commodity Trade Advisor. David has over 20 years of professional trading experience and has been active […]
Total mill shipments of steel products recovered in March following repeated declines at the start the year. March’s mill shipments totaled 8.342 million tons, a 9% increase from February’s 7.655 million tons. Apparent supply also surged in March, up 12.9% versus the prior month, and expanding for the first time in three months. This analysis is based […]
By CRU Principal Economist Alex Tuckett, from CRU’s Global Economic Outlook Each of the three largest economies now face a serious risk that could push them into recession: For Europe, the greatest risk is the fall-out from the Ukraine war, particularly the potential impact on energy markets. In China, a resurgence in Covid-19 which has […]
The US labor market expanded at a rapid pace in April, adding 428,000 new jobs, matching the downwardly revised 428,000 increase in March. The result kept the unemployment rate unchanged month-on-month (MoM) at the pandemic-era low of 3.6%, the Bureau of Labor Statistics reported. Payroll gains were better than economists had expected amid an increasingly […]
US job growth was strong in April, exceeding early estimates by approximately 7%. Employers added 428,000 in April, matching the downgraded figure for March. The result kept the unemployment rate unchanged at 3.6% – slightly higher than estimates of 3.5%, and just a touch above pre-pandemic levels in 2020, according to the Labor Department. The […]
SMU contributor Tim Stevenson is a partner at Metal Edge Partners, a firm engaged in Risk Management and Strategic Advisory. In this role, he and his firm design and execute risk management strategies for clients along with providing process and analytical support. In Tim’s previous role, he was a Director at Cargill Risk Management. Prior […]
The outlook among purchasing managers surveyed by the Institute for Supply Management remains positive, and US manufacturing continued to grow April – thought at a slower rate. Last month’s Manufacturing PMI edged down to a reading of 55.4% versus 57.1% in March. The index reading above 50% indicates growth in the manufacturing sector. April’s measure […]
Steel prices were relatively steady in April, following increases in March. Hot rolled prices were at $1,460 per ton ($73 per cwt) the first week of April, the highest level seen since January 2022. Prices then bounced around within a $30 per ton range for the remainder of the month, with the SMU index averaging $1,450 per ton as […]
US manufacturing activity saw a marked improvement in April, expanding at its quickest pace in seven months despite rising inflation, according to the latest data from S&P Global’s purchasing managers survey. The seasonally adjusted S&P Global PMI posted a reading of 59.2 in April, up from 58.8 the month prior, but lower than the earlier released ‘flash’ […]
The Chicago Business Barometer stumbled in April after exceeding expectations the month prior, according to the latest indicators from Market News International (MNI) and the Institute for Supply Management (ISM). The measure, also known as the Chicago PMI, has seen some extreme fluctuation in the early going of 2022. April’s decrease comes after the index […]
The US economy shrank in the first quarter of 2022 with gross domestic production declining at a 1.4% annualized pace. The drop was a sharp reversal from an annual growth rate of 6.9% from October through December, according to the US Commerce Department’s Bureau of Economic Analysis (BEA). The initial estimate for Q1 was the […]
Editor’s note: SMU Contributor David Feldstein is president of Rock Trading Advisors. Rock provides customers attached to the steel industry with commodity price risk management services and market intelligence. RTA is registered with the National Futures Association as a Commodity Trade Advisor. David has over 20 years of professional trading experience and has been active […]
New orders for US manufactured durable goods rebounded in March after sinking for the first time in five months in February. Last month’s bookings for durable goods rose 0.8% following a revised 1.7% decline a month earlier, according to the Commerce Department. The value of core capital goods orders – a proxy for investment in […]
Data on US industrial production, capacity utilization, new orders and inventories continue to improve. February and March 2022 reports indicate a strengthening manufacturing sector. 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 […]
Global crude steel production was estimated at 161.1 million metric tons in March as steelmakers around the world expanded output by 18.4 million metric tons, or 12.9%, from the prior month, the World Steel Association (worldsteel) reported. Since reaching an all-time high of 174.4 million metric tons last May, global steel output had waned in […]