First the takeaway: Don’t overthink it on the way down. Prices are falling, like it or not. The good thing, demand is still good – so don’t let falling prices ruin your holidays. Now, let’s overthink it a little. We’ve seen some chunky declines in recent weeks: SMU’s hot-rolled coil price fell $70 per ton […] The post Final Thoughts appeared first on Steel Market Update.
Steel Dynamics Inc. (SDI) has joined competitor Nucor in predicting another quarterly earnings record for the last quarter of 2021. The Fort Wayne, Ind.-based steelmaker predicted fourth-quarter earnings in the range of $5.46 to $5.50 per diluted share, according to guidance released on Thursday, Dec. 16. That’s up from $4.85 per diluted share in the […] The post SDI to Close Book on ’21 with Record Quarterly Profits appeared first on Steel Market Update.
By CRU Senior Analyst Ryan McKinley, from CRU’s Steel Metallics Monitor , Dec. 8 The CRU metallics price indicator (CRUmpi) was little changed m/m in December at 401.6 after expectations of another price increase for metallics were dampened by weaker-than-expected demand. Supply is becoming seasonally scarcer in some markets. But, in our view, weakness in […] The post CRU: Global Metallics Prices Come Under Pressure as Demand Wanes appeared first on Steel Market Update.
Ferrous scrap prices for December settled mostly sideways across the U.S. following a big jump in November as export demand slowed and as mills sought to reduce year-end inventories. Steel Market Update sources generally put December scrap in the following ranges: Shred $520-540/GT; Bush $600-640/GT; and HMS $470-490/GT. “It was an unusual, and frankly unexpected, […] The post Ferrous Scrap Prices Flat in December on Weak Export Demand appeared first on Steel Market Update.
I’m concerned we’ve all gotten a little too complacent with the idea that the price correction underway will continue to be gradual and that the new floor for hot rolled coil, whatever it is, will be four digits instead of the sub-$400-500 per ton floors that have characterized past downcycles. I’m not saying we’re headed […] The post Final Thoughts appeared first on Steel Market Update.
(Editor’s note: This is a corrected version of Final Thoughts. The original misstated a hot rolled peak of $1,995 per ton, not $1,955.) In our questionnaire this week, we asked steel buyers: Do you sense that the market is changing, and in what ways? Not surprisingly, many referenced shortening mill lead times and declining steel prices. […] The post Final Thoughts appeared first on Steel Market Update.
Evraz is a major supplier of plate and tubular goods for the traditional oil and gas markets. At the same time, it is a leader in the use of renewable energy, with an electric arc furnace mill in Pueblo, Colo., powered primarily by solar. Jefferson Shaw, vice president of strategy for Evraz North America, sees […] The post Evraz NA’s Shaw: Decarbonization Not an ‘Us vs. Them’ Proposition appeared first on Steel Market Update.
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 Hot rolled futures sellers are betting that the price of HR will drop significantly in December based on the latest […] The post Hot Rolled Futures: Waiting for a Trend to Accelerate appeared first on Steel Market Update.
First, please note that due to the Thanksgiving holiday, the Steel Market Update newsletter will not be published on Thursday (which is Thanksgiving Day) and Sunday, Nov. 28. We will return to our normal publication schedule on Tuesday, Nov. 30. We want to wish everyone in the United States a happy, healthy Thanksgiving with family and […] The post Final Thoughts appeared first on Steel Market Update.
December ferrous scrap prices are expected to trade sideways or up slightly after a surprise jump higher in November, Steel Market Update sources said. “December scrap is likely to move sideways, particularly for sales done at the higher end of the November range. For sales at the lower end, a $10-20 per ton ‘catch-up’ increase […] The post December Scrap Prices May See Small Increase appeared first on Steel Market Update.