By Phil Bell, President, Steel Manufacturers Association Editor’s note: Phil Bell and SMA are now periodic contributors to Steel Market Update. Look for Phil’s insights on steel and events in Washington in future issues of SMU. Even as the United States has sought closer cooperation with allies to confront non-market actors like China, many of […]
By Philip Bell, President, Steel Manufacturers Association Editor’s note: Phil Bell and SMA are now periodic contributors to Steel Market Update. Look for Phil’s insights on steel and events in Washington in future issues of SMU. Many people often mischaracterize the American steel industry as dirty and struggling to cut carbon emissions. This all-too-common misperception […]
What does the infrastructure spending plan passed this week by the Senate mean for steel? On Tuesday, in a bipartisan vote, the Senate passed a $1 trillion infrastructure package that includes $550 billion in new federal spending. That measure now moves on to the House for consideration. Around 44% of total U.S. steel demand is […]
The Senate passed a sweeping infrastructure bill on Tuesday – the Infrastructure Investment and Jobs Act – that calls for a nearly $1 trillion federal investment in roads, bridges, rail, the electrical grid and broadband. Steel is chief among the industries that stand to benefit from this new spending over the next decade if the […]
The U.S. economy continued to accelerate in July, as hiring rose at its fastest pace in nearly a year. Nonfarm payrolls increased by 943,000 for the month, while the unemployment rate dropped to 5.4%, according to the Bureau of Labor Statistics (BLS). The payroll increase was the best since August 2020. Following sizable jumps in […]
The U.S. labor market saw its best monthly performance in nearly a year in July, reported the U.S. Bureau of Labor Statistics (BLS). The latest data shows a flood of 943,000 new workers added to payrolls in July, as the American economy roared into midsummer. With just under 3 million new jobs added from May through July, the […]
New orders, production and employment grew in July despite a deceleration is supplier deliveries and growing backlogs, said the Institute for Supply Management in the July 2021 Manufacturing ISM Report on Business. The Manufacturing PMI fell 1.1 percentage points in July to 59.5%, still above 50% and indicating expansion in the overall economy for the […]
The U.S. manufacturing sector saw the most substantial improvement in operating conditions on record, according to July’s U.S. Manufacturing PMI data from IHS Markit. “July saw manufacturers and their suppliers once again struggle to meet booming demand, leading to a further record jump in both raw material and finished goods prices,” said Chris Williamson, chief […]
Steel prices continued to climb through the month of July, now the 11th consecutive month prices have increased. Hot-rolled steel prices increased an average of $30 per ton ($1.50 per cwt) each week, with the SMU index averaging $1,860 per ton ($93 per cwt) as of last Tuesday. The SMU Price Momentum Indicator has remained unchanged since the […]
The Chicago Business Barometer rebounded in July to a reading of 73.4, the second highest pandemic-era level, according to MNI Indicators. The July PMI is up 7.3 points over the month prior. MNI reports that demand is strong, but firms remain concerned about supply chain disruptions and rising prices. Production rose ;8.8 points in July […]
Editor’s note: SMU Contributor David Feldstein is president of Rock Trading Advisors. David has over 20 years of trading experience in financial markets and has been active in the ferrous futures space for over eight years. You can learn more at www.thefeldstein.com or add him on twitter @TheFeldstein and on Instragram at #thefeldstein. Following Memorial […]
U.S. gross domestic product (GDP) grew by 6.5% in the second quarter of 2021 on an annualized basis, according to the advanced estimate from the Bureau of Economic Analysis (BEA). While the gain was the second-fastest pace of growth in 38 years, it was a disappointing mark, falling short of forecasts for 8% GDP. The second […]
U.S. consumer confidence remained steady in July following more accentuated gains in five of the past six months, according to the latest data from The Conference Board. The July index rose by just 0.2 of a point month on month, on top of increases totaling nearly 34 points from February through June. “Consumer confidence was flat […]
Orders for manufactured durable goods rose slightly in June, slowing the upward momentum seen the month prior, reported the U.S. Census Bureau. Orders for cars, appliances and other durable goods rose by 0.8% to a seasonally adjusted $257.6 billion in June, weaker than expected and much less than the 3.2% growth seen the month before. […]
World crude steel production, at an estimated 167.9 million metric tons in June, was down 3.7% from a month ago but up 12.0% when compared to the same year-ago period, reported the World Steel Association (worldsteel). June’s data is the first decrease in more than four months and follows sequential record-breaking increases seen from March […]
World crude steel production lost momentum in June after repeated months of record-breaking output, according to World Steel Association (worldsteel) data. Global production in June, at an estimated 167.9 million metric tons, declined 3.7% from May, but was still 12.0% higher than the same period last year. Since March’s historic 12.7% jump, world crude steel production […]
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. Before joining Metal Edge Partners, Bryan held a variety of commercial […]
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. Before joining Metal Edge Partners, Bryan held a variety of commercial […]
Demand for design services from U.S. architecture firms continued to increase in June, said the American Institute of Architects. AIA’s Architecture Billings Index reached 57.1 in the month, 1.4 points lower than May but still in growth territory. The billings index has expanded every month since January. The index for new design contracts declined 4.3 points from […]
U.S. steel mills shipped 7,987,038 net tons in May, a 46.2% increase compared with the 5,461,851 net tons shipped in May 2020 when the economy was struggling with the worst of the pandemic. May shipments also were up 1.8% from the 7,845,008 net tons shipped in the previous month, reported the American Iron and Steel Institute. […]
Producer prices continue to rise into the summer months showing no signs of slowing down. The index and subcategories for final demand have not only recovered from the collapse seen at the onset of COVID-19 but have now surpassed pre-pandemic levels. Since the repeated decreases from February through April of 2020, the composite Producer Price […]
Mill shipments of steel products rose in May by 1.9%, rebounding from the 2.0% decline seen the month prior, while apparent supply was up 1.7% compared to April. Although mill shipments and apparent supply gains have decelerated from the nearly 20.0% rally seen in March, May’s gains were the third increase in as many months […]
Manufacturing growth in New York State surged to a record high in July, according to the data collected in the Empire State Manufacturing Survey. The general business index jumped 26 points to 43.0. Indicators for new orders, shipments and inventories all increased by double digits from June, rising 16.9 points, 29.6 points, and 18.8 points, respectively. Unfilled orders increased as well, […]
U.S. industrial production, manufacturing and durable goods orders continue to show improvement from the coronavirus pandemic downturn, indicating a strengthening manufacturing sector. The health of the manufacturing economy has a direct bearing on the health of the steel industry. Note that some of the historical data below has been adjusted by the U.S. Census Bureau […]
“June saw surging demand drive another sharp rise in manufacturing output, with both new orders and production growing at some of the fastest rates recorded since the survey began in 2007,” said Chris Williamson, chief business economist at IHS Markit, reporting that the research firm’s U.S. Manufacturing Purchasing Managers’ Index (PMI) posted a robust 62.1 […]
U.S. steel product shipments rebounded in May, up 3.1% following a 7.1% decrease the month prior. Steel product shipments have been irregular from month to month since bottoming out in May 2020. The seesaw pattern over the past year is attributable to several factors including mill outages, factory curtailments and seasonal disruptions as the marketplace […]
The U.S. labor market accelerated in June, seeing the largest gain in 10 months, reported the U.S. Bureau of Labor Statistics (BLS). The latest data shows a surge of 850,000 new workers added to payrolls in June after a spring lull. Wages also saw noticeable improvements, both positive signs of growing demand for workers. Following a disappointing jobs […]
The U.S. economy continued to push forward in June, the labor market recovery accelerating after a weaker-than-expected showing in April. Employers added a net 850,000 jobs last month, according to the Bureau of Labor Statistics (BLS), the most added in one month since last August and outpacing the consensus expectation from market experts. Despite the […]
New orders and production picked up in June, while employment contracted, supplier deliveries slowed and backlogs lengthened, said the Institute for Supply Management in its June 2021 Manufacturing ISM Report on Business. The Manufacturing PMI fell a slight 0.6 percentage point to 60.6 after rising in May and indicates expansion for the overall economy. “Business Survey Committee panelists […]
The Chicago Business Barometer fell to a four-month low in June with a PMI reading of 66.1, according to MNI Indicators. The June PMI slipped 9.1 points from May. Through Q2, however, the index jumped by 7.9 points to 71.1, its highest quarterly reading since Q4 1973. Demand was not as robust as anticipated. Supplier […]