The US economy posted its first period of growth for 2022 in the third quarter. Gross domestic production (GDP) accelerated to a 2.6% annualized pace for the period, temporarily stymying recession fears, according to the advanced estimate from the US Commerce Department’s Bureau of Economic Analysis (BEA). The latest GDP reading follows two consecutive negative […]
US consumer confidence slipped in October after two straight monthly increases amid rising concerns about inflation and a possible recession next year. Despite the decline, households remain keen to purchase big-ticket items like motor vehicles and appliances, The Conference Board reported. Though down, October’s results still pointed to decent consumer buying, as more consumers planned […]
US Steel Corp. recorded sharply lower profits in the third quarter of 2022 both sequentially and versus the same quarter last year, driven by lower steel prices and higher input costs. Despite the lower earnings, the Pittsburgh-based steelmaker remains on pace for its second-best financial year in the company’s history thanks to stronger margins in the […]
Global crude steel production was estimated at 151.7 million metric tons in September as steelmakers around the globe increased output by 7.3 million metric tons, or 5.1%, from the same period last year, the World Steel Association (worldsteel) reported. Last month’s estimated production was also up sequentially, edging up by just 0.7%, or 1.1 million […]
Don’t look now but sheet price erosion continues, with tags across all flat-rolled products inching lower this week, according to SMU’s latest check of the market. For some time now we’ve been trying to gauge SMU survey respondents’ sentiment and their sense of market direction by asking when they think HRC prices will bottom out […]
Demand for design services from US architecture firms continued to grow in September, though the pace of growth declined month-on-month (MoM). The September AIA Architecture Billings Index (ABI) score slipped last month after rising for the first time in five months in August. Despite the MoM decline, the development also marked the 20th consecutive month of […]
Schnitzer Steel Industries Inc. said its fourth quarter ended Aug. 31 results were negatively impacted by declining ferrous and nonferrous sales prices and demand. The trend partially offsets the benefits of strong prices for its finished steel products. Tighter supply flows and an extended outage at its Everett, Mass., recycling facility were partly to blame […]
Nearly two-thirds of US states added construction jobs month-on-month (MoM) in September. Most also boosted construction employment during the past twelve months, according to Associated General Contractors of America (AGC) figures. AGC said the job gains were welcome news even if significant labor shortages probably prevented an even bigger upswing in employment. “While it is encouraging […]
Well, earnings season is now well underway. We’ve seen the early reporters like steel processor Worthington Steel (who announced it will be splitting off its steel segment and creating two separate, publicly traded businesses), as well as tube producer Webco, and steel and metal manufacturer Commercial Metals Co. all report strong results in their latest earnings. […]
Nucor Corp.’s $650 million expansion project at Nucor Steel Gallatin in Ghent, Ky., will not reach its nameplate capacity of 3 million tons per year by the end of the year, Leon Topalian, Nucor’s chair, president, and CEO, said on an earnings conference call with analysts on Thursday, Oct. 20. “The ramp-up at Nucor Steel […]
Nucor Corp.’s new $1.35 billion plate mill in Brandenburg, Ky., remains on track to start up late in the fourth quarter of this year, with “meaningful production” to occur in the first quarter of 2023, Leon Topalian, Nucor’s chair, president, and CEO said on an earnings conference call with analysts on Thursday, Oct. 20. The […]
Existing-home sales shrank in September, retreating for an eighth straight month, according to the National Association of Realtors (NAR). Three out of the four major US regions saw sales decline month-over-month (MoM) in September while sales in the West held steady. Sales were down across each region year-over-year (YoY). September sales fell 1.5% from August […]
Nucor Corp. experienced another quarter of strong earnings despite sequential declines in average sales price per ton and total tons shipped in the third quarter ended Sept. 30, the company said in its latest earnings report on Thursday, Oct. 20. Decreased steel mills segment earnings drove the sequential decline in quarterly earnings, the company said. The […]
US light vehicle (LV) sales grew in September, coming in at 1.15 million units, unadjusted. Last month’s total was a 10.8% increase year-on-year (YoY), the US Bureau of Economic Analysis (BEA) reported. The YoY gain was just the second since July 2021. While this was the second consecutive month of YoY increases, it was helped […]
North American auto assemblies declined by 8.7% in September after reaching their highest mark in nearly two years the month prior. Despite the lower output in September, production was a hefty 39.6% higher year-on-year (YoY) and still the third-best total year-to-date (YTD), according to LMC Automotive data. Though the market remains supply-constrained due to ongoing […]
Total US mill shipments of steel products were down in August, slipping to their second-lowest total year-to-date (YTD). Mill shipments have been fluctuating up and down all year with little consistency. August’s shipments totaled 8.04 million tons, a 0.9% decline from July’s 8.11 million tons. Apparent supply also saw a month-on-month (MoM) decline in August, down 1.3% […]
What a difference a week can make. The lack of clarity in the short-to-medium-term direction presently in steel seems to be stumping maybe even the best and the brightest of flat-rolled buyers. And perhaps as Michael Cowden indicated in SMU’s prior Final Thoughts, the steel market might be somewhere in the middle — in-between bearish […]
Builder confidence fell for the tenth straight month in October, while traffic of prospective buyers fell to its lowest level since 2012 (excluding the two-month period at the onset of the pandemic), the National Association of Home Builders (NAHB) said. The report, in conjunction with the Wells Fargo Housing Market Index (HMI), said that rising […]
Imported sheet and plate products arrived at US ports at a slower clip in August, resulting in them accounting for a lower share of the domestic market for the second straight month, according to a Steel Market Update analysis of import data from the US Commerce Department and domestic shipment figures from the American Iron […]
The apparent lack of change in US plate prices is fast approaching the one-month mark. Prices haven’t moved since Nucor announced a $120-per-ton ($6-per-cwt) price cut on discrete plate on Sept. 19. Despite the recent sideways trend, prices remain under pressure due to a lack of demand. But could potential imports usher in another round […]
ArcelorMittal has broken ground on its $1.8 billion CAD ($1.3 billion USD) project to decrease the carbon intensity of its steelmaking. The ground-breaking ceremony comes just about a year after the Hamilton, Ontario-based steelmaker announced the initial federal subsidy granted for the investment. ArcelorMittal Dofasco, a subsidiary of multinational ArcelorMittal SA, is working towards decreasing […]
A new labor pact between US Steel Corp. and the United Steelworkers (USW) union remains elusive, though some progress seems to have been made during the latest round of bargaining last week. The two sides, however, remain miles apart when it comes to major sticking points like wages, health care, retirement, and pensions, a USW […]
The prices contractors pay for construction materials and services — chiefly for new nonresidential construction — jumped 12.6% year-on-year (YoY) in September despite a slight 0.2% decline month-on-month (MoM), the Associated General Contractors of America (AGC) reported in its latest analysis of government data. AGC cautioned that the industry is suffering mostly from inflation, and […]
US Steel has indefinitely idled the tin mill at its Gary Works in northwest Indiana, a company spokeswoman confirmed in an email to Steel Market Update on Thursday, Oct. 13. The move could be a prolonged one, upwards of six months, according to an unconfirmed report. The Pittsburgh-based steelmaker had temporarily idled Gary’s No. 5 tin […]
Cleveland-Cliffs Inc. and the United Steelworkers (USW) union announced they have agreed to a new labor deal after USW members ratified the terms of a new, four-year collective agreement. The USW-represented employees — roughly 12,0000 across 13 Cliffs steelmaking facilities in Ohio, Pennsylvania, Indiana, Illinois, West Virginia, and Minnesota — voted “overwhelmingly” in favor of […]
On Friday the Bureau of Labor Statistics released its latest report card on the US economy’s performance with its September jobs report. The results, though surprisingly upbeat, point to potentially more troublesome days ahead, both personally and collectively for the steel industry. So here are just a few thoughts to ponder as October nears […]
Raw steel production by US mills slipped back down last week, unable to maintain the slight uptick seen the week prior. Last week’s utilization also edged down compared to the previous week. Utilization rates haven’t eclipsed the 80% mark in 14 weeks, the longest run since the pandemic. Domestic steel output was 1,680,000 net tons in […]
Los Angeles-based JFE Shoji America Holdings Inc. successfully completed the acquisition of California Expanded Metal Products Co. (CEMCO), the company said in an Oct. 10 news release. The acquisition of the California-based cold-formed steel framing company expands JFE’s steel products business in the US. CEMCO will continue manufacturing products under the leadership of Tom Porter, CEMCO’s […]
The US labor market added 263,000 jobs in September, down for the second consecutive month but still better than expected. The result signals that the Federal Reserve will likely have to do more to slow it down. September was the slowest monthly gain in nearly a year and a half, according to the Bureau of […]
The US economy added 263,000 new jobs in September, slowing for the second straight month and marking the lowest monthly total since April 2021, according to data from the US Department of Labor. Despite the repeated decline in hiring, last month’s total was still solid by pre-pandemic standards and slightly ahead of the expected payroll […]