STEEL BRIEF

 

                June 2010

 

Current observations:

 

·         US steel production was 1.803M tons for the week ending June 12.  This is the first time production has exceeded 1.8m tons for one week since mid-October 2008.

 

·         Future demand is softening.

 

·         Two major US mills have announced outages to adjust production to meet that demand.  More mills are expected to follow suit.  Such moves are viewed in the market as attempts to prevent oversupply.

 

·         Iron ore prices are expected to rise in Q3 over current spot market prices as a result of the current short term pricing formulas being used today.

 

·         Current pricing has stabilized at the highest point it’s been at in the last 12 months.

 

MiTek continues to work diligently to find the lowest possible cost steel so as to provide the greatest value to you.


 This page last modified on 6/22/2010