After surprising the market watchers of HR futures in the first week of May, the index finally gave back $40 per short ton (ST) in the second week, coming in just shy of $1,130/ST. Interestingly, the May futures settlement was almost unchanged from April 10 . While the market may be in a hurry for price […] The post Futures: The Slow Erosion of HR Prices appeared first on Steel Market Update.
US scrap prices fell across the board in May, and expectations are that June could move lower still on weaker global demand. “Domestic demand was generally decent aside from several mills in the Ohio Valley that had substantially reduced buy programs,” one scrap source said. “Ironically, Ohio is still home to the strongest ferrous scrap market […] The post US Scrap Prices Slip Again in May, June on Shaky Ground appeared first on Steel Market Update.
New calculations suggest that the lifespan of steel might be shorter than originally believed, according to a report released by the Steel Manufacturers Association (SMA). The report provides new calculations suggesting that the lifespan of steel is in the range of 25 to 35 years, rather than 40 years. The shorter lifespan increases the availability of […] The post SMA: Shorter Steel Lifespan Could Relieve Scrap Demand appeared first on Steel Market Update.
Domestic scrap prices are expected to fall in May, market sources told SMU. “Despite decent domestic demand, the recent and apparently continuing drop in the global scrap price will pressure US prices in May,” one market source said. “The global market for finished steel and semis is oversupplied, and Turkish demand is in a holding […] The post Lower Global Scrap Prices Seen Pressuring US Tags appeared first on Steel Market Update.
Turkish scrap import prices continued to fall last week. Subsequently CRU’s assessed Turkish scrap price for HMS1/2 80:20 is $415 per metric ton FOB Turkish port, down $11 per metric ton week-on-week and $28 per metric ton month-on-month. This is based on several deals concluded before and sooner after the Eid holidays. Turkish scrap deals […] The post CRU: Turkish Scrap Prices Fall Amid Weakening Lira appeared first on Steel Market Update.
Sheet prices are coming down now. The question isn’t one about market direction anymore. Instead, the question is whether the declines will be “managed” by a more consolidated group of sheet mills or whether it will be more precipitous, akin to what we saw last fall. We won’t release full results of our steel market […] The post Final Thoughts appeared first on Steel Market Update.
The prime scrap and metallic shortage in the US will continue over the next few years, according to Cleveland-Cliffs’ top executive. “Our conviction that this country’s prime scrap and metallic shortage will continue to tighten over the coming years is at the core of our strategy,” Cliffs’ chairman, president, and CEO Lourenco Goncalves said during […] The post Metallic, Prime Scrap Shortage to Persist: Goncalves appeared first on Steel Market Update.
We’ve written in SMU about “green” steel and whether steel consumers, including market-leading OEMs, will pay a premium for it. What about the potential for premiums in scrap too? Maybe not for green scrap. But what about for “prime grade” or prime-equivalent shredded scrap? Shred that transforms into prime – maybe we could call it […] The post Final Thoughts appeared first on Steel Market Update.
The spread between hot-rolled coil (HRC) and prime scrap prices has widened again in April from March, though much smaller than last month’s number, according to Steel Market Update data. Both SMU’s hot-rolled coil price average and busheling prices dropped this week. Our hot-rolled coil average slipped $15 per ton week-over-week to $1,145 per ton ($57.25 per cwt) as […] The post HRC, Prime Scrap Price Spread Widens $18/t in April appeared first on Steel Market Update.
Manufacturing business activity increased for the first time in New York state in five months, according to the latest Empire State Manufacturing Survey taken between April 3-10. The New York Fed’s Empire state headline general business conditions index jumped 35 points month-over-month to 10.8, as new orders and shipments rose as well. The survey’s new orders […] The post Empire State Manufacturing Index Soars in April appeared first on Steel Market Update.