The U.S. construction sector lost momentum in May as the industry continues to deal with the effects of the COVID pandemic. Growth remains uneven across sectors as many continue to work through supply chain disruptions, rising materials prices and labor shortages. Total construction spending during May, at a seasonally adjusted annual rate, was $1.545 trillion, […]
The Dodge Momentum Index has fallen for the first time this year – and after six consecutive months of gains – on uneven demand and higher costs. The index now stands at 165.8, down 5% from a revised May number of 175.1, according to Hamilton, N.J.-based Dodge Data & Analytics. “Uncertain demand for some building […]
Steel Dynamics Inc. (SDI) has delayed the start-up of the hot end of its new steel mill in Sinton, Texas, to the fourth quarter, the company’s top executive said. The move was necessary because of severe rain over the last 4-6 weeks, something that was amplified by recent flooding in the region, SDI Chairman, President […]
Steel Dynamics Inc. (SDI) has delayed the start-up of the hot end of its new steel mill in Sinton, Texas, to the fourth quarter, the company’s top executive said. The move was necessary because of severe rain over the last 4-6 weeks, something that was amplified by recent flooding in the region, SDI Chairman, President […]
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 […]
Steel Dynamics Inc. (SDI) is in the process of starting up the coating lines at its new steel mill in Sinton, Texas, a company spokesman confirmed. The paint line at Sinton has been threaded, and painting is expected to begin in approximately two weeks, he said. The mill’s galvanizing line, meanwhile, is slated to start […]
Supply chain disruptions, rising materials prices and labor shortages continued to slow construction spending in May, reported the Associated General Contractors of America (AGC). Officials with the association called on the Biden administration to remove tariffs on key construction materials, allow unemployment supplements that are keeping people out of the workforce to expire and take steps to […]
Construction employment declined again in June, the fourth time in the past five months, according to an analysis of government data by the Associated General Contractors of America (AGC). Construction employment totaled 7,410,000 in June, down 7,000 from the revised May total. The June total remained 238,000 or 3.1% below February 2020, before the pandemic stalled […]
Steel prices rose even higher through the month of June, now the 10th consecutive month prices have increased. Hot rolled steel prices increased an average of $30 per ton each week, reaching $1,770 per ton in SMU’s latest check of the market. The SMU Price Momentum Indicator has remained unchanged since the August 2020 adjustment […]
U.S. GDP grew by 6.4% in the first quarter of 2021 on an annualized basis, according to the Bureau of Economic Analysis’ (BEA) third and final revision. The third revision saw no change in overall GDP compared to the advance and second estimates; however, upward revisions to nonresidential fixed investment, private inventory investment, and exports […]
Mark Bula sees an analogy between the latest green steel technology and the electric arc furnaces (EAFs) that transformed traditional steelmaking back in the 1980s. “Just as minimills once disrupted the industry, we must once again take a monumental leap forward,” he said. Bula is well known in the steel industry for his prior role […]
By Michael Marley The mini sheet mills face a maxi problem, namely no additional supplies of prompt industrial scrap to feed their growing appetites for that raw material. As they move ahead with planned expansions of existing facilities and the construction of greenfield plants, electric arc furnace (EAF) steelmakers may be forced to rely on additional […]
Encouraging the market to use better steel, and use steel better, along with being a leader in fossil-free steel production, is SSAB’s broader goal, said SSAB Americas President Charles Schmitt, during Wednesday’s SMU Community Chat webinar. SSAB Americas is the largest supplier of heavy steel plate in North America. Steel consumption has doubled since 2000, and […]
Demand for design services from architecture firms in the U.S. continued to be robust in May, said the American Institute of Architects. AIA’s Architecture Billings Index rose to 58.5 from 57.9 in April for one of the highest scores in the ABI’s 25-year history. The ABI has expanded every month since January. The index for […]
Sales of new single-family homes in May slipped 5.9% from April’s downward revised estimate to a seasonally adjusted annual rate of 769,000, the Commerce Department reported on Wednesday. Sales were 9.2% higher than in May 2020. Sales declined in four of the last five months, falling from the 12-month peak of 993,000 homes sold in […]
Producer prices have not only recovered from the COVID-19-driven fallout, but have now overtaken pre-pandemic levels. Since the repeated decreases from February through April of 2020, the composite Producer Price Index (PPI) of all commodities from the Bureau of Labor Statistics (BLS) has seen consistent month-on-month increases. May’s index registered a 3.2% increase versus the […]
Plate prices have seen an astronomical rise, but the big gains have not been enough to keep the spread between sheet and plate from ballooning. And that spread is already the inverse of what is the norm. Normally plate prices carry a premium to sheet prices – now the reverse is true. Sheet carries around a […]
Triple-S Steel Holdings, Inc., Houston, has acquired Los Angeles-based Rolled Steel Products and E&E Steel. The two companies, founded in 1956 and under the ownership of the Alperson family since 1973, supply precision strip and flat-rolled products to a range of customers in Southern California. Terms of the deal were not disclosed. “We are very excited to continue […]
First, Happy Father’s Day to all the fathers, grandfathers, and great-grandfathers out there. Peek-a-Boo… A one-hundred-ton order of hot rolled at $1,680 does not mean the sky is falling. One of our competitors is writing that prices are starting to decline. We conducted channel checks on Friday, and we did not find any evidence of […]
A one-hundred-ton order of hot rolled at $1,680 does not mean the sky is falling. One of our competitors is writing that flat rolled steel prices are starting to decline. We conducted channel checks on Friday, and we did not find any evidence of that being the case. Sure, you can collect a low order […]
2021 SMU Steel Summit Conference Revised Agenda as of June 20, 2021 There are 55 days before the start to the 2021 SMU Steel Summit Conference. We should have close to 300 companies and 800+ executives attending this year based on where we are today. The conference agenda is close to its final shape. There […]
2021 SMU Steel Summit Conference Revised Agenda as of June 20, 2021 There are 55 days before the start to the 2021 SMU Steel Summit Conference. We should have close to 300 companies and 800+ executives attending this year based on where we are today. The conference agenda is close to its final shape. There […]
Steel Market Update’s latest analysis of monthly Key Market Indicators underscores that the recovery is still under way. Markers for both the Present Situation and Trends show small but positive moves from a month ago and now exceed pre-pandemic levels. SMU’s Key Market Indicators include a host of data on the economy, raw materials, manufacturing, construction, and […]
Flat rolled steel prices have been rising consistently for 45 straight weeks (since the week of Aug. 10, 2020). There is a chance (no guarantees) that we could see the cycle continue for a full 52+ weeks as the steel mills continue to have supply issues and demand remains quite strong in just about every […]
Commercial Metals Company posted record earnings of $130 million on net sales of $1.8 billion in the third quarter of FY 2021. Results were the best the company has achieved in its 106-year history. “CMC achieved exceptional results during the third quarter,” said Chairman, President and CEO Barbara Smith. “Demand for our products was robust […]
Housing starts picked up the pace in May, jumping 3.6% from April to a seasonally adjusted annual rate of 1,572,000, according to the latest data from the U.S. Census Bureau and the Department of Housing and Urban Development. Single-family starts rose 4.2% and construction on homes of five units or more increased 4%. “Single-family starts […]
It is a good time to be a steel producer. Both Steel Dynamics and Nucor are expecting record earnings for the second quarter of 2021 supported by strong demand and unprecedented steel prices. And U.S. Steel expects second quarter adjusted EBITDA more than double that in the first. SDI expects earnings to be in the range […]
Easing pressure on construction costs and supply-chain bottlenecks is at a tipping point, the Associated General Contactors of America (AGC) said, urging the Biden administration to end tariffs and quotas on steel, aluminum, and lumber at once. The cost of goods and services used in construction climbed by a record-setting 4.3% in May and 24.3% […]
The Art of Forecasting… This week I saw another milestone drop that I never thought I would live to see. Galvanized base pricing out of a domestic mill at $100.00/cwt (seems like there is an extra digit there for some reason). I go back far enough to remember galvanized steel prices around $10.00/cwt…. For the […]