Scrap Sources: Construction

Steel Dynamics expects reduced profitability from its steel operations in fourth quarter compared to third. Lower steel shipments, customer destocking and seasonal demand weakness are impacting the steel platform and, in particular, commodity grade hot roll products. Lower steel pricing will offset any benefits from lower ferrous scrap costs. Fabricated steel joist and decking products […] The post SDI Guidance Expects Lower Profit in Q4 appeared first on Steel Market Update.

Steel Dynamics expressed concern about imports during the company’s second quarter earnings call. “On the trade front, we’re pleased the ITC has confirmed the flood of unfairly traded imports of corrosion-resistant sheets deal has materially reduced our shipments, pricing and profitability. I believe in fair trade, but the U.S. has become a dumping ground for […] The post Steel Dynamics Optimistic on Steel Pricing for H2 appeared first on Steel Market Update.

An explanation of the Key Indicators concept is given at the end of this piece for those readers who are unfamiliar with it. The total number of indicators considered in this analysis is currently 36. Please refer to Table 1 for the view of the present situation and the quantitative measure of trends. Readers should […] The post Key Market Indicators- May 31 2015 appeared first on Steel Market Update.

An explanation of the Key Indicators concept is given at the end of this piece for those readers who are unfamiliar with it. The total number of indicators considered in this analysis is currently 36. Please refer to Table 1 for the view of the present situation and the quantitative measure of trends. Readers should […] The post Key Market Indicators- April 30, 2015 appeared first on Steel Market Update.

Steel Dynamics Inc. reported high levels of steel import and customer inventory reduced shipments for first quarter resulting in a 44 percent drop in consolidated operating income compared to fourth quarter. SDI adjusted net income was $40 million for first quarter 2015 with $2 billion in net sales. The adjusted income excludes $17 million in […] The post SDI Flat Rolled Shipments Drop by 20% in Q1 appeared first on Steel Market Update.

Steel Dynamics expects that a decline in steel shipments caused by inventory overhang, hesitant demand and margin compression will lower first quarter profitability. In the company’s first quarter guidance, SDI noted: “During the first quarter of 2015, two important industry developments occurred: – “Domestic steel product pricing declined to levels that are now globally competitive, […] The post SDI Expecting Margins and Shipments to Improve in Q2 appeared first on Steel Market Update.

The following article about the Asian ferrous scrap markets comes to SMU from Damon Sun of Daido International: After the Lunar New Year holidays in Asia, the finished steel market has been subdued.   However the scrap markets have stabilized.   The raw factors affecting scrap markets: Negative Issue Affecting Ferrous Scrap in Asia: 1.)    Iron ore […] The post Asian Scrap Markets Stabilize appeared first on Steel Market Update.

Steel prices continued their slide this week. The CRU was down $14 to $488/ton, which has put downward pressure on futures contracts for nearby months.  April and May are trading approximately $10 lower this week with the former at $495/ton and the latter closer to $510/ton.  While nearby months have been influenced by the deteriorating […] The post Hot Rolled Futures: Another Step Down for HRC Prices appeared first on Steel Market Update.

There seemed to be three subjects on the minds of the steel buyers and executives with whom Steel Market Update spoke with over the past twenty-four hours: steel prices, demand for steel products and foreign steel (both offers and threats of dumping suits). Since it is Tuesday and we publish our flat rolled steel price […] The post Steel Buyers Discuss Pricing, Demand & Foreign Steel appeared first on Steel Market Update.

Warning: You can drown reaching for the bottom…! Steel Market Update (SMU) is learning that the ferrous scrap deals which were done earlier this week in Detroit and in northern Ohio were done at sideways pricing on obsolete grades (such as heavy melt and shredded scrap) while primes grades (Busheling/bundles) dropped $20 per ton. However, […] The post Early Reports Have Obsolete Scrap Sideways While Primes Down $20 appeared first on Steel Market Update.