The US economy has expanded at a modest pace since mid-May, the Federal Reserve said in its latest Beige Book report. But while the economy continues to grow, it has been exhibiting signs of a slowdown over the past month. And recession concerns are rising, the report said. The latest temperature check by the Fed on […]
Business activity in the state of New York saw a modest increase in July, following a sideways move 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 – rose 12.3 points in July to […]
Startup company Altex Tube LLC is setting up shop on the campus of Steel Dynamics Inc.’s flatrolled sheet mill in Columbus, Miss. Altex’s new, $100 million HSS and mechanical tube mill will manufacture black and pre-galvanized steel tubing ranging in size from 1–6 inches square and 1.25–7.625 inches round, up to 48 feet in length […]
I’ve been writing a lot lately about steel prices going down. It’s hard at a certain point to find a new way to write about the same thing. So let’s talk about logistics, heat waves, and electricity for a little bit. First, I want to draw your attention to our Community Chat earlier this week […]
We are now 38 days away from the start of the 2022 SMU Steel Summit Conference. Registrations are now approaching 900 attendees and we still expect another 200+ executives to register over the next five weeks. If you have not yet registered, you can do so by clicking here. The following companies registered for the […]
We are now 38 days away from the start of the 2022 SMU Steel Summit Conference. Registrations are now approaching 900 attendees and we still expect another 200+ executives to register over the next five weeks. The following companies registered for the conference over the past few days (those with an * mean more than […]
With markets becoming more regional and localized, having a solid supply chain is critical in business today, and Majestic Steel’s latest acquisitions are helping the company create just that for its current and future customers. Majestic, a Cleveland-based prime flat-rolled steel service center and processor, has just completed the acquisition of two more companies to […]
Combining its recent acquisitions in pallet rack manufacturing and manufacturing and integration services, Charlotte, N.C.-based steelmaker Nucor Corp. has launched its newest division, Nucor Warehouse Systems. In August 2021, Nucor purchased Hannibal Industries, a national provider of steel racking solutions headquartered in Los Angeles, for $370 million. In April of this year, Nucor added Elite […]
Steel Market Update sources reported ferrous scrap prices fell significantly in July, the third consecutive month of declines since peaking in March and April. Prime grades declined as much as $150 per gross ton, while obsolete grades decreased $30-50 per ton. Scrap prices are now in line with levels seen in the first two months […]
Data on US industrial production, capacity utilization, orders and inventories continued to improve through the first half of 2022, indicating a strengthening manufacturing sector. The health of the manufacturing economy has a direct bearing on the health of the steel industry. The Industrial Production (IP) Index The IP index is a gauge of output from […]
I promised there would be more “Final Thoughts” from me before I retire. Today, I am going to write about conversations I had with steel buyers late last week about the market. But first, a couple of key reminders that are important (at least to me): • SMU Steel Summit Conference = 43 days (Aug. […]
The US economy added 372,000 new jobs in June, while the unemployment rate held unchanged at 3.6%, and the labor force shrank by 353,000 people, according to the Labor Department. Hiring last month slowed only slightly, and the US job market remains resilient despite high inflation and waning economic growth. Job gains have slowed since […]
Luxembourg-based steel tube producer Tenaris SA is set to purchase Benteler Steel & Tube Manufacturing Corp. from Benteler North America Corp. in a deal valued at $460 million. Benteler Steel & Tube is a seamless pipe producer with production facility in Shreveport, La., that has annual capacity of 400,000 metric tons. The acquisition, which is subject […]
US construction spending in May totaled $1.780 trillion at a seasonally adjusted annual rate, 0.1% below April’s upwardly revised $1.783 trillion. This is the first drop since September 2021. The surprising decline month-on-month (MoM) came as a drop in public spending dragged on stalling single-family homebuilding, the Commerce Department reported. The construction spending decline in […]
The US labor market added 372,000 jobs in June, an unexpected boost in hiring. It was ahead of most expectations and only slightly down from May’s revised 384,000 additional payrolls. 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 […]
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 After a brisk bout of futures activity in HR to close out the first half of 2022, we are experiencing much […]
We are now ~45 days away from the start of the 2022 SMU Steel Summit Conference, which is being held at the Georgia International Convention Center in Atlanta on Aug. 22-24. Registrations are nearing 900 executives representing 318 separate companies. Over the past few days the following companies have registered (an * means more than […]
Is this a case of the summer doldrums or something more serious? That might be a more important question to answer than where the bottom is and when we might hit it. But first let’s start with a recap of where prices landed this week. SMU’s hot-rolled coil price is now at $955 per ton ($47.75 […]
Thomas Hosea, executive director, GPSC Central Operations at General Motors will speak at the upcoming SMU Steel Summit Conference this August. Hosea will share General Motors’ view on their move to electric vehicles. Hosea is responsible for creating and executing strategies that will ensure a resilient and sustainable value chain for GM’s raw material and Customer […]
Thomas Hosea, executive director, GPSC Central Operations at General Motors will speak at the upcoming SMU Steel Summit Conference this August. Hosea will share General Motors’ view on their move to electric vehicles. Hosea is responsible for creating and executing strategies that will ensure a resilient and sustainable value chain for GM’s raw material and Customer […]
The S&P Global US manufacturing PMI – another measure of manufacturing – fell to 52.4 in June, its lowest level in nearly two years, as business activity in the manufacturing sector expanded at a much weaker pace last month. Last month’s results are down from 57 in May and missed the market expectation of 56 […]
US manufacturing activity expanded at a much slower pace in June than in May. The employment, new orders, and prices paid indexes all fell month-on-month (MoM), according to the Institute for Supply Management (ISM). June’s Manufacturing PMI fell to 53%, a 3.1-percentage-point decline compared to a reading of 56.1% in May. The measure came in weaker […]
Earlier this week SMU canvassed steel buyers on a variety of subjects, ranging from steel prices to supply and demand to new mill capacity. We are sharing the comments we received in each buyers’ own words, rather than summarizing them in ours. Want to have your voice heard and share your comments with SMU? Contact Brett@SteelMarketUpdate.com […]
Schnitzer Steel Industries Inc. posted its best third-quarter earnings on record thanks to high prices and strong demand for both ferrous and nonferrous scrap. The Portland, Ore.-based scrap recycler and long steel producer recorded net income of $76 million in the third quarter of its fiscal 2022 ended May 31, 2022, doubling earnings of $38 […]
Nextracker LLC, a global utility-scale solar tracker manufacturer, and BCI Steel, a Pittsburgh-based steel fabricator, will breathe new life into the abandoned Bethlehem Steel manufacturing facility in Leetsdale, Pa. The historic factory – once a part of one of the world’s largest steel-producing and shipbuilding companies of the 20th century, and where steel for US […]
Steel Dynamics Inc. (SDI) announced today the creation of a joint venture with Aymium, a producer of renewable biocarbon products. Operating under the name SDI Biocarbon Solutions, LLC, SDI will hold a 55% stake and Aymium owns the remaining 45%. The company plans to create a biocarbon production facility to supply SDI’s electric arc furnace […]
New orders for US manufactured durable goods rose more than expected in May, suggesting business investment remains resilient even in the face of deteriorating business and consumer sentiment as well as heightened fears of a recession. Last month’s bookings for durable goods rose 0.7% following a revised 0.4% decline a month earlier, according to the […]
On July 5th I will celebrate the 45th anniversary of when I first joined the steel industry. I never intended on joining the industry after I left college. It was the love of a woman, and a broken heart that led me to the door of Seymour Waldman and Rolled Steel Corporation in Skokie, Ill., […]
John Packard the founder of Steel Market Update will be retiring at the end of August 2022. Here is what Packard had to say during his announcement to the SMU customers: On July 5th I will celebrate the 45th anniversary of when I first joined the steel industry. I never intended on joining the industry […]
By CRU Senior Analyst Ryan McKinley, from CRU’s Steel Sheet Products Monitor Prices for sheet products continued to fall rapidly around the globe this week. Mills in the US have become increasingly aggressive with their offers and are shifting their focus towards value-added products in order to obtain higher margins over costs. As a result, […]