To our USA customers welcome back from your 4th of July holiday. I saw this quote while doing some research this afternoon, “Fun is one of the most important and underrated ingredients in any successful venture” (Richard Branson) This is something I have believed in for my entire steel career. Speaking of fun, we have […] The post Final Thoughts appeared first on Steel Market Update.
The following article is by contributing writer Damon Sun of Daido International. Several key elements has happened in the last few weeks in the ferrous markets in Asia: 1) China Customs Bureau has started inspections for alloy content in the export of billets (square bars). The export tax rebate (9%) is applicable only to alloy […] The post Brexit and World Scrap Markets to Affect USA Steel Prices appeared first on Steel Market Update.
There have been a number of articles written recently regarding the move by the Chinese government to remove some of the tax incentives in the form of rebates to the Chinese steel producers who export certain steel products. Any move to remove export tax rebates on steel is seen as a positive by the rest […] The post China Moves to Remove Export Tax Rebates (or is it?) appeared first on Steel Market Update.
We purposely did not begin this article on where our sources are seeing ferrous scrap prices with an attention grabbing headline as we think readers would be confused. The confusion comes from the pressure the domestic steel mills are expected to put on obsolete grades, like shredded scrap and HMS (heavy melt scrap). Those of […] The post SMU Expectations for Ferrous Scrap Pricing for July appeared first on Steel Market Update.
While in New York City this past week Steel Market Update was asked if the spread between ferrous scrap prices and that of hot rolled coil was at historical highs? We were also asked if the spread between hot rolled and cold rolled/coated base prices were also at historical highs. We asked SMU contributing writer […] The post Price Spread Between HR and CR Largest Since 1993 appeared first on Steel Market Update.
Here are some of the comments made to SMU over the past few days both in New York City and upon our return to our offices. Regarding scrap prices, one of our sources was telling us that the domestic steel mills are making a mistake by attempting to push ferrous scrap prices lower, especially when […] The post New York City Bits ‘N Pieces appeared first on Steel Market Update.
Over the past week Steel Market Update has been of the opinion that flat rolled steel prices may be reaching levels where a “pause” may be appropriate. Our SMU Price Momentum Indicator has been pointing toward Higher flat rolled steel prices since December 11, 2015 (6 months). Many of the reasons which caused Steel Market […] The post SMU Price Momentum Indicator Adjusted to Neutral (and No the Sky is Not Falling) appeared first on Steel Market Update.
There is a big difference between the settlement prices in the Midwest versus those on the East Coast. Ferrous scrap prices in the Chicago area saw shredded scrap drop by $30 per gross ton, cuts (obsolete scrap) was down $20 per ton while prime grades (bundles and busheling) went sideways. In the Detroit numbers shredded […] The post Scrap Prices Slide on all but Prime Grades appeared first on Steel Market Update.
SMU scrap sources on Friday divulged that negotiations have been slow with many mills not yet having bought as of this past Friday. Price indicators are running from sideways on prime grades (busheling/bundles) to down $10, $20, $30 in the Ohio Valley, Midwest and Southeast. The east coast was referenced as being down by even […] The post Ferrous Scrap Prices Drop on All but Prime Grades appeared first on Steel Market Update.
I received a couple of notes from trading companies thanking me for my article on Thursday evening (The Sky is NOT Falling… at least not yet) as I tried to put into context some of the pricing available for foreign steel, correct some misinformation and look at the bigger picture. Even as questions arise about […] The post Final Thoughts appeared first on Steel Market Update.