This is the Global Economic, Commodities, Scrap Metal and Recycling Report by our BENLEE roll off trailers and gondola trailers, July 11th, 2022.
U.S. weekly crude steel production rose to 1.767MT, on a slowing economy and imports taking market share.
The U.S. Dollar index. The U.S. dollar vs. other global currencies. When the U.S. dollar index goes up, commodity prices in dollars typically goes down. It rose to 107 a new 20 year high on the good U.S. jobs report which ensures higher interest rates coming, which drives the dollar up.
WTI crude oil price fell to $104.79/b and was under $99 at one point during the week. This was on recession fears and a resurgence of COVID in China.
The U.S. weekly oil rig count rose to 597. Higher prices and higher demand are bringing a higher rig count.
U.S. weekly crude oil production held steady to 12.1Mb/d, still down 1Mb/d from pre COVID. Producers remain focused on keeping prices and profits high.
Scrap steel #1 HMS price fell to about $363/GT but is still settling. The high U.S. dollar is hurting scrap exports and helping cheaper imports.
Hot rolled coil steel price fell to $44.85/cwt, $897/T. This was on slowing demand, cheaper imports, and lower scrap prices.
Copper price rose to $3.52/lb., after hitting $3.28 during the week. Importantly, China may boost infrastructure spending, but on slow global growth.
Aluminum price was up slightly at $1.10/lb., $2,436/mt on muted demand and higher aluminum production.
China producer price inflation eased to 6.1% a 15-month low. It was on a slowing economy, with the driver the selloff of ferrous metals.
U.S. June new jobs created, were 372,000, better than forecast. Professional and Business services were up 74K and leisure was up 67,000.
U.S. June Unemployment rate was steady at 3.6%. The number of people employed actually fell as people left the workforce.
U.S. June S&P Composite PMI, a major overall economic indicator. Fell to 52.3, the slowest growth since January. This was as manufacturing and services grew slower and on less new orders and new export orders fell.
U.S. May trade deficit improved to negative $85.5B a 5-month low. This was as exports hit a record, but deficits with China and the EU were worse. It was better with Canada and Mexico, probably related to us importing less oil from them.
Wall Street’s Dow Jones Industrial Average. It rose 241 points to 31,338 on the stronger than expected jobs report.
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