Commodities, Scrap Metal, Recycling and Economic Report December 12, 2022

This is the Commodities, Scrap Metal, Recycling and Economic Report. Brought to you by BENLEE roll off trailers and gondola trailers/open top scrap trailers, December 12th, 2022. This is Brian Sides reporting for Greg Brown who will be back later this week.

U.S. weekly raw steel production rose slightly to 1.63MT. The U.S. economy continues growing slowly.

WTI crude oil price fell to $71.02/b, a 12-month low on recession fears and rising China COVID fears.

The U.S. weekly oil rig count fell to 625, with a slow trend up. U.S. oil producers remain concerned about over supply.

U.S. weekly crude oil production rose slightly to 12.2Mb/d, the highest in 2.5 years. Less Russian oil in the market is great for U.S. oil exports.

Scrap steel #1 HMS price rose to $290/GT but is still settling for December. Good export demand and low supply raised prices.

Hot-rolled coil (HRC) steel price rose to $34/cwt, $680/T as steel mills raised prices to offset higher costs.

Copper price rose slightly to $3.86/lb. on low production and hopes of improved Chinese demand.

Aluminum price fell to $1.13/lb., $2,480/mt., despite tight supplies.

China November Caxin Total Economy Index fell to 47, the lowest since May and is under 50 meaning it’s in contraction. It was a broad-based decline due to a major COVID wave.

U.S. November producer price, percent increase fell to 7.4% the smallest increase in 2.5 years. Lower energy costs are bringing down inflation.

U.S. Chicago lumber futures, fell to $412/TBF, down more than 70% from March. This was back to levels seen 18 years ago as housing slows.

U.S. weekly initial unemployment claims rose to 230K, with the 4-week moving average being the highest since August. Higher interest rates continue to slow parts of the economy.

U.S. December U of M consumer sentiment index rose to 59.1, beating forecasts. This was as current conditions and future sentiment improved.

Wall Street’s Dow Jones Industrial Average fell a big 953 points to 33,477. This was on concerns over further interest rate increases and on concerns that the economic slowdown bringing a recession.

Gondola trailers are finally back in stock. 48’ long, 8’ high walls of Hardox. Call BENLEE for a quote at 734-722-8100.