Steel Market Update is pleased to share this Premium content with Executive members. For information on upgrading to a Premium-level subscription, email Info@SteelMarketUpdate.com. The U.S. construction sector rose in July, lifted by gains in both the private and public sectors. Overall spending rose by 0.3% following a sideways revision for the month prior, the Commerce […]
Earlier this month Steel Market Update celebrated our 13th anniversary of officially being in business. I say “officially” because I was publishing the newsletter for a few years prior to starting SMU as a legal entity. It has been a while since I last related the history of Steel Market Update. Where did the idea […]
By CRU Principal Economist Alex Tuckett and CRU Chief Economist and Head of Sustainability Jumana Saleheen, from CRU’s Global Economic Outlook The spread of the Delta variant, plus some disappointing data from the U.S., have led us to slightly revise down our forecast for 2021 GDP growth from 6.1% to 5.9%. Growth in industrial production […]
By CRU Principal Economist Alex Tuckett and CRU Chief Economist and Head of Sustainability Jumana Saleheen A disappointing outlook for U.S. Q3 growth, and the problems in China’s construction sector, have led us to downgrade our forecast for 2021 world growth from 5.8% to 5.4%. Our forecast for 2021 growth in Industrial Production has been revised […]
Housing starts fell by 7.0% in July as supply chain and labor challenges continue. The decrease brought the seasonally adjusted annual rate to 1.53 million units, according to the latest data from the U.S. Census Bureau and the Department of Housing and Urban Development. The July reading includes a 4.5% decrease in single-family starts to […]
Builder confidence edged down in August to its lowest reading in 13 months due to higher construction costs, supply shortages and rising home prices, according to the NAHB/Wells Fargo Housing Market Index (HMI). The index contracted for the third time in as many months, falling five points to a reading of 75 in August, as […]
The U.S. construction sector saw mixed results in June. Overall spending rose by 0.1%, the Commerce Department reported, as an increase in private projects was offset by a decline in the public building segment. Supply chain disruptions, rising materials prices and labor shortages continue to hamper a construction sector trying to rebound from the COVID […]
Construction employment declined or stagnated in 101 metro areas between February 2020, the last month before the pandemic, and last month, reported the Associated General Contractors of America in its latest analysis of government data. Labor shortages and supply chain challenges have kept many firms from adding workers in various parts of the country, said […]
Sales of new single-family homes fell in June for the fifth time in six months, landing at 6.6% below May’s downward revised estimate at a seasonally adjusted annual rate of 676,000, the U.S. Department of Housing and Urban Development and the U.S. Census Bureau reported on Monday. Sales fell by 19.4% when compared to the […]
Existing-home sales rose in June, ending a four-month decline, reported the National Association of Realtors. Three of the four major U.S. regions registered small month-over-month gains, while the South was sideways. All four areas saw double-digit gains year on year. June sales rose 1.4% from May to a seasonally adjusted annual rate of 5.86 million. […]
Builder confidence slip modestly in July on high raw material costs and a shortage of skilled labor, according to the National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index (HMI). The index edged down one point to a reading of 80 last month. The dip in the index – a measure of builder confidence in […]
Housing starts accelerated in June, jumping 6.3% from May to a seasonally adjusted annual rate of 1.64 million units, according to the latest data from the U.S. Census Bureau and the Department of Housing and Urban Development. Single-family starts increased 6.3% to a 1.16 million seasonally adjusted annual rate, while construction on homes of five […]
Testifying before Congress last week, National Association of Home Builders (NAHB) CEO Jerry Howard called on lawmakers to enact key policies that will ensure access to good housing for all Americans. During the subcommittee hearing, Howard noted that such policies will help home builders expand the housing supply, reduce the housing deficit and improve housing […]
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, […]
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 […]
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 […]
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 […]
One of the questions we are constantly asked as we speak to steel buyers around the country: How is demand and are you seeing any demand destruction due to the high commodity prices such as steel? Most customers are telling SMU that demand remains quite strong, steel continues to be in short supply, and the […]
Construction employment fell for the third time in the past four months, according to an analysis of government data by the Associated General Contractors of America. Construction employment fell by 20,000 jobs from the downwardly revised April data to a seasonally adjusted employment total of 7,423,000. The total in May remained 225,000 less than in […]
The following article was reprinted with permission from John Burns Real Estate Consulting. True statements can lead to misleading conclusions, especially in a busy world full of sound bites and analysis limited to 280 characters. Thank you to one of our clients for several long exchanges that pushed me to clarify our thinking on numerous […]
The construction sector continues to gain momentum, but the effects of the COVID pandemic linger. Growth remains uneven as most sectors are still struggling to rebound from the doldrums seen last year. Total construction spending during April 2021, at a seasonally adjusted annual rate, was $1.524 trillion, up 0.2% from March’s revised estimate of $1.521 trillion, […]
Today, the domestic steel mills in Detroit began buying ferrous scrap for June up $60 per gross ton on prime grades (busheling and bundles) and up $50 per gross ton on cut grades and shred. It is anticipated the rest of the country will follow the Detroit lead. One of the questions we are constantly […]
The U.S. economy expanded at a moderate pace from early April to late May as vaccine rates increased and social activity began to normalize, said the Federal Reserve in its latest Beige Book report. Consumers spent more dollars on leisure travel and restaurants, giving a boost to the tourism industry that was among the hardest […]
Home prices shot up 13.2% in March compared to the same month in 2020 and increased 12% from February. The S&P Core Logic Case-Shiller National Home Price Index reported double-digit gains for all 20 cities in the composite index except Chicago, which posted a 9% increase. Phoenix, San Diego and Seattle reported the highest year-over-year […]
New home sales sank 5.9% in April from downward revised data in March to a seasonally adjusted annual rate of 863,000, according to estimates by the U.S. Census Bureau and Dept. of Housing and Urban Development. Other than a weather-related dip in February, April’s annual rate was the lowest since June 2020. A new home […]
Nucor Steel Berkeley notified customers yesterday, May 24, that it is raising published prices on most of its structural steel products by $100 per ton ($5.00/cwt), effective immediately, in the latest of a series of price hikes dating back for a year. “As always, we will monitor the marketplace and respond accordingly to changes so […]
A shortage of inventory resulted in a third straight month of decline for existing-home sales. Sales in April fell 2.7% to a seasonally adjusted annual rate of 5.85 million, reported the National Association of Realtors. “Home sales were down again in April from the prior month, as housing supply continues to fall short of demand,” […]
April housing starts fell 9.5% to a seasonally adjusted annual rate of 1.57 million units, following March’s fastest climb since June 2006. Soaring construction costs and home prices were blamed for the April decline. Single-family starts plunged 13.4%, although multi-unit homes gained 4%, said the U.S. Census Bureau and the U.S. Department of Housing and […]
Could the U.S. steel industry be looking at 50 million tons of new demand in the next few years? That’s one way of calculating how much steel might be required if a $1-trillion infrastructure package passes Congress and is signed into law. Infrastructure spending of $1 billion equals 50,000 tons in steel demand, according to a […]