This page is archived
news covering the period of January 2021
If you are looking for current daily market news, please visit here.
Friday, January 29
Daily Nickel/Stainless Steel Briefing
Nickel closed Thursday's trading
session at $8.08/lb ($17,810/tonne). Indicators at 6:45 am CST today show
nickel trading around $.03/lb
lower. Stockpiles of nickel stored in LME licensed warehouses, for a
second consecutive day, went unchanged and remain just below the
248,900 tonne level. Nickel was trading near the $17,500/tonne level
earlier this morning, but since then, the US Dollar has weakened after
an initial surge, and nickel has recovered some of its earlier loss. In
other words, nickel appears to be following the Euro - so far this
morning. Lots of news for you today, and some reports to boot. Its the
final work day of the first month of 2021, so stay safe out there and
have an enjoyable weekend.
Average price of LME traded cash nickel
so far this month
- $8.10/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Copper slides, higher dollar activates profit-taking - more
Thursday's market review - Copper gains as the dollar
eases in choppy trade - Copper gained on Thursday in choppy trade as
the dollar reversed gains, making commodities prices the greenback
cheaper for buyers with currencies. - more
Another commodity supercycle is coming — this time driven by renewable energy and EVs - The
transition to an electrified clean energy economy is going to result in
a monumental draw on metals and minerals from the earth's crust - more
EU stainless buyers face shortages as prices surge - European
stainless steel producers have raised their prices for 300 and 400
series hot and cold rolled coil multiple times throughout December and
January. - more
Western Areas confident of strengthening nickel market - Western Areas
has capitalised on strong nickel trading during the December quarter
despite being impacted by lower grades at the Forrestania operations in
Western Australia. - more
India’s steel production declines by more than 10% in 2020, while China
and Russia produced more steel than previous year: Worldsteel - Bucking
the global trend, China and Russia produced more steel in 2020 than in
2019. Among the top five nations, production declined in India, Japan
and the United States by up to 17.2 per cent. - more
Second Wave Hasn’t Stalled Commodities’ Momentum… Yet - The near-term
economic outlook has weakened due to new restrictions in response to
the COVID-19 pandemic’s second wave, but that has not yet filtered into
commodity pricing. - pdf here
Steel Imports Declined 21.2% in 2020 - Based on preliminary
Census Bureau data, the American Iron and Steel Institute (AISI)
reported today that the U.S. imported a total of 1,494,000 net tons
(NT) of steel in December 2020, including 1,340,000 net tons (NT) of
finished steel (up 9.0% and 13.5%, respectively, vs. November final
data). - more
Multi-channel strategy a success for Würth Group - According to its
preliminary annual financial statement, Würth Group has reported a
sales volume of €14.41 billion in 2020 – slightly above 2019, which
was €14.27 billion. - more(in 2010, Wurth established a goal of $20 billion Euro's by 2020 - they appear to be a tad shy)
5 With ID: Justin Roff-Marsh Wants to Set Salespeople Free - The
Ballistix founder & CEO says it’s not that salespeople have the
wrong intentions — they simply operate in an environment that
constrains them. - more
Coronavirus By The Numbers - here US Fed MN Covid Economic Dashboard - more
US Fed NY Weekly Economic Index - more
Resurgence - how is your state faring? - more
Thursday, January 28
Daily Nickel/Stainless Steel Briefing
Nickel closed Wednesday's trading
session at $8.12/lb ($17,900/tonne). Indicators at 6:05 am CST today show
nickel trading around $.13/lb
lower. Stockpiles of nickel stored in LME licensed warehouses remained
unchanged on Wednesday and started today reading just under the 248,900
tonne level. Not sure if the Game Stop debacle yesterday has put
investors in a sour mood today, but looking at the commodity and major
equity boards around the world, its a chore to find anything trading in
the black. Nickel is at a two week low, and it appears to be merely
caught up in the global sell off. The U.S. Dollar is higher today,
which is adding more negative sentiment on base metals. Lot of reports
and articles below, including one of the Redd it users versus GameStop
shorts - and a small Australian nickel mine that saw its stock soar
because some of the Reddit sheep misunderstood their target. At first
look, we didn't give this whole Game Stop situation much credit, but a
quick look at the top 5 headlines on the Marketwatch page, show
professional investors are taking it very serious - so we now feel this
is playing a part in today's market move. Stay safe out there and have
a great Thursday.
Average price of LME traded cash nickel
so far this month
- $8.10/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Firmer dollar, sell-off in equities push Shanghai copper to 1-month low - more
Wednesday's market review - Zinc at two-month low as
stockpiles surge and China demand wanes - Zinc prices slumped on
Wednesday to their lowest in more than two months on a sharp rise in
inventories that highlighted excess supply as demand falters in China.
- more
Base metals prices forecast to rise sharply in 2021, less so in 2022 -
As the world’s economies start to pick up following the impacts from
the Covid-19 pandemic, CPM Group’s director of commodities and asset
management Carlos Sanchez expects base metals markets to return to
normality in 2021, supporting increases in prices. - more
China's stainless steel production rises in 2020 y-o-y - According to
statistics from the Stainless Steel Branch of China Special Steel
Enterprises Association, the production of crude stainless steel in
China amounted to around 30.14 million tons in 2020, growing by 2.51%
compared to the previous year. - more
Global production rises year on year in Q3 2020 while use falls -
Figures released today by the International Molybdenum Association
(IMOA) show that the global production of molybdenum rose by 5% to
149.5 mlbs when compared to the same quarter of 2019, a 1% rise when
compared to the previous quarter of 2020. - more
Steel: Depleting iron ore supply among reasons for price increase -
CIDB - Inadequate supply of iron ore worldwide is among the
reasons why the price of steel bars in the country’s construction
sector has increased, said Construction Industry Development Board
(CIDB). - more
EU to End Tariffs on $3.4 Billion Goods If U.S. Lifts Metal Duty - The
European Union would immediately lift retaliatory tariffs on about $3.4
billion of U.S. goods if America removes its duties on metals imported
from the bloc, the EU Ambassador to the U.S. said. - more
DNR Board passes new mining regulations, raises permitting fees for
metallic mining - The Natural Resources Board, the policy-setting arm
of the Wisconsin Department of Natural Resources, approved a new set of
mining rules Wednesday, updating how the agency will permit metallic
mining for the first time since 1982. - more
Australian Mining Stock Surges After Being Mistaken For GameStop -
Trading volume in the company was at more than 20 times the normal
average, leading some to believe that GME had been mistaken for
GameStop - more
Redditors took on hedge funds over GameStop and AMC Theatres stock and won. So what now? - more
Coronavirus By The Numbers - here US Fed MN Covid Economic Dashboard - more
US Fed NY Weekly Economic Index - more
Resurgence - how is your state faring? - more
Wednesday, January 27
Daily Nickel/Stainless Steel Briefing
Nickel closed Tuesday's trading
session at $8.20/lb ($18,080/tonne). Indicators at 6:40 am CST today show
nickel trading around $.07/lb
lower. Stockpiles of nickel stored in LME licensed warehouses rose on
Tuesday and started today's session just under the 248,900 tonne level.
Not a lot to report today. Nickel appears to be using the $18,000 tonne
level as a gauge to trade around, with little more than speculative
hopes to fuel the bull. For those stainless steel prices that have yet
to catch up with nickel, they soon will. World stainless production was
down last year, thanks to the worldwide pandemic. Stay safe and have a
great hump day.
Average price of LME traded cash nickel
so far this month
- $8.10/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Zinc slides to two-month low as stocks surge, China demand wanes - more
Tuesday's market review - Weakening dollar lifts copper as
rally loses momentum - Copper rose on Tuesday as the dollar weakened,
making metals cheaper for buyers outside the United States, but the
slow progress of U.S. stimulus measures and concerns about Chinese
demand capped gains. - more
Global crude steel output decreases by 0.9% in 2020 - Global crude
steel production reached 1,864.0 million tonnes (Mt) for the year 2020,
down by 0.9% compared to 2019. - more
Hiring for attitude while hunting for skilled labor in manufacturing -
There’s an old saying that employers hire for skills and fire for
attitude. Many fabricators would agree. - more
Coronavirus By The Numbers - here US Fed MN Covid Economic Dashboard - more
US Fed NY Weekly Economic Index - more
Resurgence - how is your state faring? - more
Tuesday, January 26
Daily Nickel/Stainless Steel Briefing
Nickel closed Monday's trading
session at $8.29/lb ($18,280/tonne). Indicators at 6:10 am CST today show
nickel trading around $.04/lb
lower. Stockpiles of nickel stored in LME licensed warehouses fell on
Monday and ended the day just under the 248,700 tonne level. Reuters is
reporting the reasoning behind the jump in Chinese stainless steel
futures is higher raw material costs and inventory builds based on
expectations of strong demand following the New Year holiday break in
February. A Chinese official is also being quoted as confirming the
covid lockdowns so far, have been limiting travel in and out of the
effected territories and restricting extra circular activities. So
far, manufacturing has not been affected. The world saw its 100
millionth confirmed case diagnosed yesterday, with a death toll in
excess of 2.1 million. A Chinese steel group is reporting 300 series
stainless steel production in that country rose 6.58% in 2020, which
represents 47.71% of all stainless production there. Imports of
stainless steel rose 61.33% into China, while exports fell 6.95%. Lot
of news below, so we leave you with it. Stay safe and have a great day!
Average price of LME traded cash nickel
so far this month
- $8.10/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Copper slips for a fourth day as rally loses momentum - more
Monday's market review - Tight supply pushes tin prices to
highest since 2014 - Tin rose to its highest since 2014 on Monday after
a shortfall of the metal used in solder to connect components in
electronic devices pushed up prices for 12 straight weeks. - more
Shanghai stainless steel jumps on rising raw material prices,
post-holiday demand - Stainless steel futures on the Shanghai Futures
Exchange rose as much as 2.5% on Tuesday, gaining for a second straight
session, fuelled by rising raw material prices and expectations of
strong demand after the Chinese New Year holidays. - more
China stainless steel output, consumption rise in 2020 - more
Taiwan’s Yusco & Tang Eng expected to hike prices on high nickel
prices - The international nickel price has reached a six-year high
recently, coupled with the continuous increases in prices of key raw
materials for stainless steel making, such as nickel pig iron,
ferrochrome, and scrap, Yieh United Steel Corp. (Yusco) and Tang Eng
Iron Works Co., Ltd., two leading stainless steel upstream suppliers in
Taiwan, were expected to hike their domestic and export sales prices
for February. - more
Sherritt meets 2020 guidance, but shares fall - Sherritt International
on Monday reported its production results for full-year 2020, and also
provided guidance for expected production, unit costs and capital
spending in 2021. - more
Govt Seeks To List Biggest Mining Company - Zimbabwe, banking on mining
to end two decades of economic stagnation, plans to list the company in
which it has placed state mining assets to raise cash to meet
government obligations, the nation’s finance minister said. - more
BNC To Tap 8 000m Underground To Increase Nickel Production - more
Malaysia revises anti-dumping duties on steel from Vietnam - Malaysia
has revised duties on imports of cold-rolled coils of alloy and
non-alloy steel from Vietnam to 7.42-33.7 percent for the period
between January 24 and May 23. - more
Courtesy AISI - In the week ending on January 23, 2021, domestic raw
steel production was 1,717,000 net tons while the capability
utilization rate was 75.7 percent. Production was 1,906,000 net tons in
the week ending January 23, 2020 while the capability utilization then
was 82.4 percent. The current week production represents a 9.9 percent
decrease from the same period in the previous year. - more
Mining resolution figures to divide St. Louis County Board this week - A
resolution opposed to state or federal bans on copper-nickel mining has
the support of the Iron Range and rural commissioners, but Duluth's
Patrick Boyle bristled, describing it as unnecessary and
'divisive.' - more
Stauber introduces Saving America’s Mines Act - more
4 Advantages of Working with Stainless Steel in 2021 - Stainless steel
or corrosion-resistant steel is a generic name for many different
steels that are primarily used due to their corrosion resistance for a
specific application or a specific environment. It is an alloy of iron
and at least 12% chromium. - more
Coronavirus By The Numbers - here US Fed MN Covid Economic Dashboard - more
US Fed NY Weekly Economic Index - more
Resurgence - how is your state faring? - more
Monday, January 25
Daily Nickel/Stainless Steel Briefing
Nickel closed Friday's trading
session at $8.15/lb ($17,960/tonne). Indicators at 6:00 am CST today show
nickel trading around $.16/lb
higher. Stockpiles of nickel stored in LME licensed warehouses fell on
Friday and ended the week just over the 248,800 tonne level. After a
week which saw nickel trade at its
highest level since 2014, it collapsed on Friday to within a few
dollars per ton of where it ended the prior week. It's bounced back
higher this morning, and appears to be following a Monday rally held in
China. US stainless steel
surcharges are out for February and speaking of prices we have not seen
since 2014 - well you can see for yourself here.
If you aren't paying the highest stainless steel prices you have seen
in the last seven years, stand by. This is one of those times
distributors should be making a higher profit margin as their inventory
becomes more valuable by the day. And they are smart if they profit
from it, because stainless spends equally damaging time on the decline
as it
does on the rise. For those who have survived the past periods of steep
declines, when inventory becomes more overpriced by the day, suppliers
are forced to dump profits to move stock and make room for more
competitively priced
inventory. So there is no reason to feel guilty about making money now
while you can, because you'll find it very hard to maintain respectable
profit margin when the market falls. And it will fall. A number of
metals analyst are now prophesying we are in the beginning stages of a
commodity super cycle. We remain highly skeptical, and would suggest
nickel may have already seen the better gains of its most recent
bullish
run, which is now in its 10th month. The prior bullish run with staying
power lasted a year, from January 2018 to January 2019, and prior to
that, May 2016 to May 2018. The most outrageous, and yet arguably the
one most based on actual fundamentals (and panic), was from October
2005 thru
April 2007. One could argue, regardless of the ups and downs, that the
market has been in a bullish run since March 2016, after the bearish
retreat, including bear and bull markets, ended from the April 2007 all
time price peak. So will the average price of nickel increase this year
from
2020? We suspect that is very likely. But, like every market twist and
turn, we will have to wait and see what's around the next corner. It's
the start of the final week of the first month of 2020. Stay safe out
there and have a great week!
Average price of LME traded cash nickel
so far this month
- $8.08/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Copper edges higher on U.S. stimulus hopes, weaker dollar - more
Friday's market review - Copper slips as China's
coronavirus outbreak raises demand fears - Copper fell on Friday
alongside stock markets and oil prices as poor economic data and new
coronavirus restrictions in China, the world's biggest raw materials
consumer, weakened the outlook for economic growth and demand. - more
China’s nickel sulphate imports rise in 2020 - China's nickel sulphate
imports increased in 2020, supported by rising demand from the new
energy vehicle (NEV) industry despite the impact from the Covid-19
outbreak in the first quarter of the year. - more
Sumitomo to book additional 30 bln yen impairment on Madagascar nickel
project - Japan's Sumitomo Corp 8053.T said on Monday it will book an
additional impairment loss of about 30 billion yen ($289 million) on
its Ambatovy nickel project in Madagascar for the October-December
quarter to reflect the revised output plan. - more
Cliffs to restart Cleveland-area blast furnace, stresses value over
volume: company - Cleveland-Cliffs will restart the No. 6
blast furnace at its steelmaking operations in Cleveland as the company
is rotating its Ohio steelmaking amid a planned outage scheduled at its
Middletown Works, a spokeswoman for the company said Jan. 22. - more
Damaged Economy, but Signs of Hope Emerging - The U.S. has some
10 million fewer jobs than a year ago, and as many as one in 6 small
businesses has shut down. - more
Coronavirus By The Numbers - here US Fed MN Covid Economic Dashboard - more
US Fed NY Weekly Economic Index - more
Resurgence - how is your state faring? - more
Friday, January 22
Daily Nickel/Stainless Steel Briefing
Nickel closed Thursday's trading
session at $8.40/lb ($18,515/tonne). Indicators
at 6:45 am CST today show
nickel trading around $.25/lb lower.
Stockpiles of nickel stored in LME licensed warehouses fell slightly on
Thursday and started today's session just under the 249,400 tonne
level. The commodity board is awash in a sea of red this morning, as
virus concerns force many investors to bank some profits. Yesterday, we
were looking to $8.74/lb as the next level of major
psychological resistance, which is where nickel traded in May 2014, and
the highest nickel has traded since February 2012. Today, nickel has
already fallen back below the $18,000/tonne level and has yet to find
some solid footing, and we are looking for levels of technical
support. China is discouraging travel in that country during next
months Lunar New Year Holiday, after forbidding it last year. By our
standards, the recent outbreak there is very small, but the country's
reaction shows they want to keep it that way. Markets fell their
overnight, and this may be one of those rare occasions where LME
traders shadow, instead of lead, Chinese base metals markets. Covid is
not going away anytime soon, and continues to be a major factor in
nickel pricing, and stainless steel demand. Stay safe out there and
have a great weekend!
Average price of LME traded cash nickel
so far this month
- $8.08/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Copper falls as rising COVID-19 cases in China stoke demand worries - more
Thursday's market review - Copper's ascent hindered by
doubts about China demand - Copper prices rose on Thursday, helped by a
lower dollar and sliding stocks in London Metal Exchange registered
warehouses, but gains were capped by expectations that demand growth in
top consumer China had for now reached a plateau. - more
Nickel price nearing key threshold to spur investment - Nickel prices
are drawing closer to the $20,000/t threshold required to spur
investment in new supply. - more
Eurofer supports EU stance on Indonesian nickel exports - A European
Union call for an investigation into restrictions imposed by Indonesia
on the export of raw materials necessary for the production of
stainless steel, notably nickel ore and iron ore has been backed by the
European Steel Association (Eurofer). - more
Iron ore rally may lose steam as rise in supply and easing of demand
from China loom large - Iron ore started 2021 in much the same fashion
as most of last year, moving higher and adding to a rally that saw the
spot price surge 75% in 2020. - more
Forrest unveils Fortescue’s green steel plans - Fortescue Metals Group
chairman Andrew Forrest has revealed his ambitions to build Australia’s
first green steel pilot plant this year. - more
ISM Expects US Manufacturers to Increase Capital Spending 2.4% in 2021
- Economic improvement in the United States will continue in 2021, say
the nation's purchasing and supply management executives in the
December 2020 Semiannual Economic Forecast. - more
Distributor Pandemic Revenue Index Reverts to Modest Growth - more
Fastenal's Fastener Sales Grow for 1st Time Since the Pandemic Started - more
Coronavirus By The Numbers - here US Fed MN Covid Economic Dashboard - more
US Fed NY Weekly Economic Index - more
Resurgence - how is your state faring? - more
A new wave of Covid-19 cases in China’s Hebei province triggered transport restrictions in the major steel-producing region - more
Thursday, January 21
Daily Nickel/Stainless Steel Briefing
Nickel closed Wednesday's trading
session at $8.26/lb ($18,210/tonne). Indicators at 6:05 am CST today show
nickel trading around $.09/lb
higher. Stockpiles of nickel stored in LME licensed warehouses fell on
Wednesday and ended that session just under the 249,400 tonne level.
Nickel finished Wednesday unchanged from the prior day, but the bulls
are back this morning. Nickel traded within the shadow of $18,500/tonne
earlier, but has retreated from that 7 year high since. And if it
wasn't for that earlier high today, we would still be trading at levels
not seen since 2014. The Euro is higher this morning and that typically
gives commodity trading a boost. In light of the fact China's expanding
covid cases has that nation on edge, it is interesting that so far,
nickel traders appear to be shrugging off quarantine concerns. They
appear to be forgetting the saying that when it comes to base metals -
"When China sneezes, the rest of the world catches a cold". It's
Thursday and we are on the downhill slide. Stay safe and have a great
day!
Average price of LME traded cash nickel
so far this month
- $8.06/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Copper's ascent hindered by doubts about China demand - more
Wednesday's market review - Copper gains on bets that
Biden can push through stimulus - Copper pushed higher on
Wednesday on renewed optimism over the prospect of another tranche of
stimulus spending in the United States, helping to boost economic
recovery and metals demand. - more
Greater nickel usage, vertical integration, now major trends in EV
batterymaking: Roskill - Increased nickel content in batteries
will be a key trend in evolution of the electric vehicle market, as
consumers demand more range at affordable prices, analysts at UK-based
consultancy Roskill said. - more
WBMS Press Release January 2021 - (excerpt) The nickel market was in
surplus during January to November 2020 with production exceeding
apparent demand by 53.6 kt. In the whole of 2019, the calculated
deficit was 27.6 kt. - more
Column: Death of the ring could be only the start of LME revamp - Andy
Home - The London Metal Exchange (LME) proposes to close the last
open-outcry trading floor in Europe and one of the last in the world. -
more
BHP Riding High on Commodities Strength - Shares in BHP remained at
their current near record levels yesterday after it released an
encouraging six-month sales and production report that saw the company
ride the boom in commodity prices nicely. - more
China’s 2020 crude steel output crosses 1.05 billion tonnes - As
expected, China’s crude steel output had exceeded 1 billion tonnes for
2020, approximating 1.05 billion tonnes or up 5.2 per cent on year,
according to the latest release by the country’s National Bureau of
Statistics (NBS). - more
Xiangyu Group's stainless steel project in Indonesia to be fully
operational in 2021 - The new stainless steel production integration
project with an annual capacity of 2.5 million tons invested by China's
Xiangyu Group in Indonesia has reached the production target of its
steel mills and ferronickel plants under the strict control of the
COVID-19 epidemic. - more
Coronavirus By The Numbers - here US Fed MN Covid Economic Dashboard - more
US Fed NY Weekly Economic Index - more
Resurgence - how is your state faring? - more
Wednesday, January 20
Daily Nickel/Stainless Steel Briefing
Nickel closed Tuesday's trading
session at $8.26/lb ($18,210/tonne). Indicators at 6:05 am CST today show
nickel trading around $.03/lb
lower. Stockpiles of nickel stored in LME licensed warehouses rose on
Tuesday and started today just over the 249,700 tonne level. Nickel
closed above the $18,000/tonne level for the second consecutive day and
third time this month on Tuesday. At the moment it is trading slightly
lower, possibly due to a US Dollar that is higher against the Euro. At
the moment it is gathering support from the 10 day moving average
level. The daily moving average continues to signal nickel is a strong
buy. Markets continue trade based on a hope and a prayer for the
future, with the change in the U.S. administration and start of covid
vaccinations starting a new year. U.S. stock markets, who have
literally become addicted to Federal stimulus infusions, are excited
over the promise of extra stimulus dollars to come. Remember when
politicians used to actually worry about the federal debt? So the
question for the day could be - when this round of stimulus high wears
off, what next? Stay safe and have a great hump day!
Average price of LME traded cash nickel
so far this month
- $8.04/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Copper rises on U.S. stimulus hopes, softer dollar - more
Tuesday's market review - Aluminium down, hits 2-month low
as inventories, output climb - Aluminium prices fell on Tuesday,
touching their lowest in two months, as inventories and production
climbed, raising fears of larger surpluses. - more
End of an era? London Metal Exchange proposes closure of open-outcry
trade - The London Metal Exchange has proposed closing Europe’s last
open-outcry trading floor and moving permanently to an electronic
system, cementing a change sparked by the coronavirus pandemic. - more
Russia’s stainless steel imports hike in Jan-Nov 2020 y-o-y - According
to statistics released by the Russian Special Steel and Alloys
Consumers and Suppliers Association (SpetsStal Association), in the
first 11 months of last year, Russia imported around 347,500 tons of
stainless steel, up by 5.1% compared to the same period a year ago. - more
Indonesia stays China's second-biggest nickel ore supplier despite
export ban - Indonesia remained China’s second-biggest nickel ore
supplier in 2020, Chinese customs data showed on Wednesday, despite the
Southeast Asian country’s ban on exports of the material. - more
Tanzania and Kabanga Nickel strike deal to develop nickel project -
Tanzania and UK-based mining firm Kabanga Nickel Limited signed a
framework agreement on Tuesday to jointly develop the Kabanga nickel
project formerly owned by Barrick Gold and Glencore. - more
Courtesy AISI - In the week ending on January 16, 2021, domestic raw
steel production was 1,738,000 net tons while the capability
utilization rate was 76.7 percent. Production was 1,906,000 net tons in
the week ending January 16, 2020 while the capability utilization then
was 82.4 percent. The current week production represents a 8.8 percent
decrease from the same period in the previous year. - more
Coronavirus By The Numbers - here US Fed MN Covid Economic Dashboard - more
US Fed NY Weekly Economic Index - more
Resurgence - how is your state faring? - more
Tuesday, January 19
Daily Nickel/Stainless Steel Briefing
Nickel closed Monday's trading
session at $8.21/lb ($18,102/tonne). Indicators at 6:10 am CST today show
nickel trading around $.01/lb
higher. Stockpiles of nickel stored in LME licensed warehouses fell on
Monday and ended that session just under the 249,100 tonne level.
Nickel closed back over the $18,000 tonne level yesterday, and so far
today, appears to be in a holding pattern. The Euro has bounced higher
this morning, which is adding positive momentum, but in reality, its
fall over the past few weeks did little to stem nickel's bullish run.
US markets reopen today and based on Dow futures, traders are in a
buying mood. Nickel fundamentals remain bullish. Stay safe and have a
great day!
Average price of LME traded cash nickel
so far this month
- $8.04/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Copper prices steady ahead of Yellen speech - more
Monday's market review - Copper rises on strong economic
data from top metals buyer China - Copper prices rose on Monday after a
strong economic reading from top consumer China confirmed a growth
trajectory that has underpinned demand for industrial metals. - more
Commodity bull market? 'This ship has sailed,' says Goldman's
Currie - That's Jeffrey Currie, Goldman's head of
commodities research, telling Bloomberg in a television interview
(link) on Thursday why he's confident a "structural bull market" in
commodities is well under way. - more
Steel prices reach levels not seen since 2008 - New capacity won’t
affect market until late 2021, so current pricing levels may be here
for a while - more
Coronavirus By The Numbers - here US Fed MN Covid Economic Dashboard - more
US Fed NY Weekly Economic Index - more
Resurgence - how is your state faring? - more
Monday, January 18
Daily Nickel/Stainless Steel Briefing
Nickel closed Friday's trading
session at $8.16/lb ($17,997/tonne). Indicators at 6:15 am CST today show
nickel trading around $.06/lb
higher. Stockpiles of nickel stored in LME licensed warehouses fell by
one lot on Friday and ended the week around the 249,300 tonne level.
Nickel closed below the $18,000 tonne level on Friday, but is trading
above that level this morning. The Euro continues its slow decline
against the US Dollar, having peaked on January 6th. So far, any effect
this might be having on nickel, is lost in the rush. Someone from the
Philippines Environmental Agency advised reporters that the mine that
had been operating on the island that President Duterte ordered to
stop, had actually stopped production and closed back in 2015. As a
former police chief, the President has obviously learned how to
politicize the old police tactic "Bang, Bang!", "Halt, police". China
is releasing economic news from 2020 in drips and for the most part,
the news is positive. For all practical purposes, China has recovered
from the covid outbreak, and their massive reaction to small outbreaks,
shows they have no intention of losing that momentum. It's a new week
and we have posted lots of news, and even more economic reports below.
It's the last half of the first month of 2021. Stay safe out there and
have a great week.
Average price of LME traded cash nickel
so far this month
- $8.02/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Copper rises as upbeat China economic data lifts demand outlook - more
Friday's market review - Copper retreats, zinc near
2-month low on coronavirus surge - Copper prices dropped on Friday and
zinc touched the lowest in nearly two months as investors trimmed some
of their bullish positions on the back of rising coronavirus cases
around the world, threatening economic growth. - more
Nickel Soars And Could Keep Flying As Demand Rises And Supply Falls -
Demand up. Supply down. Price heading for a 10-year high. It doesn’t
get much better for nickel—except for the potential to get a lot better
for a metal which has a well-earned reputation for extreme highs (and
lows). - more
China 2020 aluminium output climbs to record high - China’s aluminium
production in 2020 rose 4.9% from the prior year to a record 37.08
million tonnes as smelters cashed in on soaring prices, with December
output hitting a monthly all-time high even as the rally cooled. - more
No more mining operations in Tawi-Tawi’s Tumbagaan Island since 2015 –
envi exec - Mining operations on Tumbagaan Island off Languyan,
Tawi-Tawi which President Rodrigo Duterte during a Cabinet meeting on
Monday, January 11, ordered suspended and its rehabilitation stepped,
have actually stopped six years ago and has been undergoing progressive
rehabilitation, an environment official in the Bangsamoro Autonomous
Region in Mindanao (BARMM) said. - more
Tension high in New Caledonia over Vale sale - There is continued high
tension in New Caledonia over the planned sale of the Vale nickel plant
to a new consortium Prony Resources. - more
Indonesia’s EV battery aspirations unearth mining waste problems - By
catering to the global hunger for EVs and its domestic economic growth,
Indonesia risks destroying its own environment. - more
Steel industry leaders must focus on making the industry
export-centric: Dharmendra - Mumbai: Minister of Steel, Petroleum and
Natural Gas, Dharmendra Pradhan on Friday said that the steel industry
leaders must focus on making the industry export-centric and fulfill
global requirements. - more
Coronavirus By The Numbers - here US Fed MN Covid Economic Dashboard - more
US Fed NY Weekly Economic Index - more
Resurgence - how is your state faring? - more
Friday, January 15
Daily Nickel/Stainless Steel Briefing
Nickel closed Thursday's trading
session at $8.29/lb ($18,275/tonne). Indicators at 6:20 am CST today show
nickel trading around $.08/lb
lower. Stockpiles of nickel stored in LME approved warehouses fell on
Thursday and started today's session just over the 249.300 tonne level.
Nickel closed at its highest since 2014 yesterday. This morning, there
seems to be general trading pessimism across the commodity board, with
only plant based commodities trading higher. One chart we follow has
the next major resistance set at $8.80/lb, with long term technical
signals remaining bullish. Short term indicators are more of a
reflection of what is happening at the moment, and thus, are bearish
this morning. China GACC reports China exported 53.7 million
tonnes of steel, a decline of 16-1/2% YOY, and imported 20.2 million
tonnes, an increase of 64.4%. It's Friday, the end of the second week
of January, and the half way point of the month. 4% of 2021 is already
behind us. Stay safe out there, and have a great weekend!
Average price of LME traded cash nickel
so far this month
- $8.01/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Copper retreats, zinc hits near 2-month low as virus cases surge - more
Thursday's market review - Copper rises towards 8-year
highs as stimulus cheers markets - Copper prices rose on Thursday as
the prospect of bigger U.S. economic stimulus lifted Wall Street stocks
to record highs, but a firmer dollar and a coronavirus outbreak in
China, the biggest metals consumer, threatened the rally. - more
Column: London Metal Exchange's twilight zone absorbs stocks build -
London Metal Exchange (LME) stocks of aluminium fell by 132,500 tonnes
over the course of 2020. - more
EU escalates WTO case against Indonesia over export curbs - The
European Union escalated its challenge at the World Trade Organization
on Thursday over Indonesia’s export ban on nickel ore by requesting the
Geneva-based trade body form a panel to adjudicate on the case. - more
Ukraine Increases Imports of Nickel Ores in 2020 - Ukraine
increased imports of nickel ores and concentrate in physical terms by
15.7% in 2020 compared to the previous year, to 1.556 million tonnes. -
more
China Iron Ore Imports Hit Record High - As we forecast late last year,
China’s iron ore imports hit a record high of 1.17 billion tonnes in
2020, capping the year with a solid performance in December. - more
Coronavirus By The Numbers - here US Fed MN Covid Economic Dashboard - more
US Fed NY Weekly Economic Index - more
Resurgence - how is your state faring? - more
Thursday, January 14
Daily Nickel/Stainless Steel Briefing
Nickel closed Wednesday's trading
session at $8.02/lb ($17,680/tonne). Indicators at 6:10 am CST today show
nickel trading around $.08/lb
higher. Stockpiles of nickel stored in LME licensed warehouses fell
slightly on Wednesday and started today just under the 249,400 tonne
level. Nickel ended Wednesday about a penny higher than it did Tuesday,
but the bulls are back this morning .... again. The Euro and Dollar
continue their sideways dance, up and down and going no where fast, which has been in place since Monday.
Technicals remain mostly positive, although some show the market
continues to be overbought. Industry news is light today. 36,096
people
were killed on American highways and roads during all of 2019 in car
crashes;
the last year that the NHTSA has finalized numbers on. As of yesterday.
more Americans than that have died from covid 19 in the first 13 days
of 2021. The seven day average hit 3,418 deaths per day in the U.S.
yesterday. 2,977 people died on 9/11. The latter united the country
like no other event has in recent memory. The former continues to
divide us. Why? Stay safe and have a great Thursday!
Average price of LME traded cash nickel
so far this month
- $7.99/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - London copper slips from $8,000/tonne on dollar strength - more
Wednesday's market review - Copper supported by low
inventory and demand prospects - Copper prices held steady on Wednesday
as low inventories and prospects for healthy demand this year were
offset by a firmer dollar and below-consensus data from top consumer
China. - more
Remote operating centers in mining: Unlocking their full potential - As
the COVID-19 pandemic accelerates innovative working practices, mining
companies are reimagining their operating models to provide more
productive and enjoyable remote work locations for employees. - more
China's resumption of scrap imports seen unlikely to help costs, EAF
development - China's move to allow ferrous scrap imports to
restart in January is likely to have a limited impact on domestic
steelmaking costs, constrained by the lack of scrap available globally
to import, market sources said Jan. 13. - more
“Prove it First” bill could impact copper-nickel mining in Minnesota -
Lawmakers and anti-copper nickel mining groups are introducing
legislation that could deal a big blow to projects like PolyMet. - more
Surigao Norte town to allot P20-M for Covid-19 vaccines - The Surigao
del Norte town of Claver would allocate PHP20 million for coronavirus
disease 2019 (Covid-19) vaccines. - more
Coronavirus By The Numbers - here US Fed MN Covid Economic Dashboard - more
US Fed NY Weekly Economic Index - more
Resurgence - how is your state faring? - more
Wednesday, January 13
Daily Nickel/Stainless Steel Briefing
Nickel closed Tuesday's trading
session at $8.01/lb ($17,650/tonne). Indicators at 6:15 am CST today show
nickel trading around $.04/lb
higher. Stockpiles of nickel stored in LME licensed warehouses rose on
Tuesday and ended that session just over the 249,400 tonne level.
Nickel recovered all of its loss on Monday and is working to recover
Friday's loss today. The market is starting to look like a classic bear
trap. Dollar is higher than yesterday, but off earlier highs and
trending lower. The sudden decision by the Philippine president to shut
down all mining on one its smaller islands has spooked nickel traders.
The Philippines has become the leading supplier of nickel ore to China
since Indonesia banned the export of raw ore, and an earlier mine
closure there due to a covid outbreak, helped nickel hit its highest in
2020. The impact here is expected to be far less, but with ore
shipments off about 27% in 2020, any potential disruptions are looked
on seriously. At the same time, otherwise reliable New Caledonia mining
is facing its own difficulties. So, an already bullish market has now
been handed a few potential supply disruptions to give it some actual
fundamentals they can use to justify their enthusiasm. And if it
doesn't, it gave us something to mention today. It's hump day, so stay
safe and have a great day!
Average price of LME traded cash nickel
so far this month
- $7.99/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Nickel prices rise on New Caledonian, Philippine supply worries - more
Tuesday's market review - Nickel prices boosted by
Philippines ban for mining island - Nickel prices jumped on Tuesday
after major producer the Philippines ordered a halt on mining on an
island that is home to some projects. - more
Nickel price still has possibility to continue increasing - In short
term, nickel prices in the market still have the power to further go
up. Currently, there are 3 main factors that sustain the nickel price.
- more
Posthaste: Why the world may be on the cusp of a new commodity super
cycle - Some analysts are looking past the current ugliness of COVID-19
spread and slow vaccine rollouts across the world, and believe the
trillions of dollars in fiscal stimulus, low interest rates and a
global focus on climate change would trigger a new commodity super
cycle. - more
Lecornu signals bigger French role in New Caledonia's Vale - The French
overseas minister Sebastien Lecornu has suggested the French state take
a larger role in New Caledonia's Vale nickel, which is at the centre of
a disputed sale. - more
Canada Nickel to mull use of Glencore Ontario facility for processing -
Canada Nickel has entered into an agreement with Glencore Canada to
examine the potential of using Glencore's Kidd concentrator and
metallurgical site in Ontario for the treatment and processing of
nickel and cobalt concentrates, both companies said Jan. 11. - more
November Steel Shipments Down 11.9% from November 2019 - The American
Iron and Steel Institute (AISI) reported today that for the month of
November 2020, U.S. steel mills shipped 6,753,447 net tons, a 0.1
percent increase from the 6,747,709 net tons shipped in the previous
month, October 2020, and a 11.9 percent decrease from the 7,665,006 net
tons shipped in November 2019. - more
Coronavirus By The Numbers - here US Fed MN Covid Economic Dashboard - more
US Fed NY Weekly Economic Index - more
Resurgence - how is your state faring? - more
Tuesday, January 12
Daily Nickel/Stainless Steel Briefing
Nickel closed Monday's trading
session at $7.76/lb ($17,105/tonne). Indicators at 6:10 am CST today show
nickel trading around $.23/lb higher.
Stockpiles of nickel stored in LME licensed warehouses rose on
Monday and ended the day just under the 249,200 tonne level. Nickel
fell nearly $1000/tonne on Friday and Monday, and so far this morning,
has recovered half of that back. While the US Dollar continues to rise
against the Euro putting pressure on commodity trading, the commodity
board is fairly green this morning, as investors pour back in. It's a
game of Blind Man's Bluff, as bulls bet they have cleared the table of
the doubters.
We will have to wait and see if they were successful, and if you are a
stainless steel user, you are probably hoping they aren't. In nickel,
Philippine's President has ordered all mining stopped on a small island
there, and Eramet is warning that if protests in New Caledonia don't
stop, they may be forced to sell their operations on the island. Vale
already has a mine for sale on the island, where more protests are
being held daily, so it's not a good time to enter the market. This
move is apparently to put pressure on New Caledonian officials to keep
the protests lawful. Morgan Stanley is reportedly forecasting an
average of $7.21/lb for cash nickel for 2021, with the risk to the
upside, with stocks moving from
surplus in 2020 to a small deficit of 18kt in 2021. It's Tuesday and if
you are still vertical, you have reason enough to be positive about the
day. About this time next week, the US will record its 400,000th
fatality from covid. So stay safe out there and have a great day!
Average price of LME traded cash nickel
so far this month
- $7.99/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Shanghai copper hits 1-week low as China imposes new virus curbs - more
Monday's market review - Copper prices slide as demand
fears dominate - Copper prices fell on Monday as demand concerns
fuelled by surging coronavirus cases in top consumer China were
reinforced by a stronger dollar and rising U.S.-China tensions. - more
China steel futures drop as inventories climb, demand eases - Chinese
steel product futures dropped on Monday, with stainless steel plunging
to its lower trading limit, as inventories piled up for a second
consecutive week on easing seasonal demand, while a surge in domestic
COVID-19 infections also weighed. - more
Duterte orders suspension of mining ops on Tawi-Tawi island - President
Rodrigo Duterte has ordered a halt to mining activities on an island in
southern Philippines, a Cabinet official said Tuesday. - more
France's Eramet says New Caledonia unit could collapse due to mine
protests - French mining group Eramet said on Tuesday its nickel
subsidiary SLN in New Caledonia risked going into liquidation within
weeks if protests continued to disrupt its operations. - more
Courtesy AISI - In the week ending on January 9, 2021, domestic raw
steel production was 1,709,000 net tons while the capability
utilization rate was 75.4 percent. Production was 1,906,000 net tons in
the week ending January 9, 2020 while the capability utilization then
was 82.4 percent. The current week production represents a 10.3 percent
decrease from the same period in the previous year. Production for the
week ending January 9, 2021 is up 3.6 percent from the previous week
ending January 2, 2021 when production was 1,650,000 net tons and the
rate of capability utilization was 74.6 percent. - more
U.S. steel groups, union urge Biden to keep Trump's steel tariffs in
place - Steel industry and union groups on Monday urged President-elect
Joe Biden to keep in place the 25% national security tariffs on steel
imports imposed in 2018 by his predecessor, arguing they are essential
to ensure the viability of domestic steel production. - more
Coronavirus By The Numbers - here US Fed MN Covid Economic Dashboard - more
US Fed NY Weekly Economic Index - more
Resurgence - how is your state faring? - more
Monday, January 11
Daily Nickel/Stainless Steel Briefing
Nickel closed Friday's trading
session at $8.02/lb ($17,670/tonne). Indicators at 6:10 am CST today show
nickel trading around $.15/lb
lower. Stockpiles of nickel stored in LME licensed warehouses fell on
Friday and started the week just over the 248,800 tonne level. Nickel
fell hard on Friday, closing below the $18,000/tonne level, and is down
again today, trading well below the $17,400/tonne level this morning.
The US Dollar has risen over the past two trading sessions, and while
this is adding negative pressure on London traded commodities, this
alone does not account for nickel's sudden stampede backwards. Market
sentiment has suddenly turned bearish, and no one item appears to have
triggered the sudden exit, anymore than any one item kept the bull
charging forward. At the moment, nickel is trading at a 2021 low, but
it remains to be seen if this is more than a short term bump, or should
we say, dip in the road. China sources are reporting steel and
stainless steel inventories grew last week in that country, on weakened
demand. It
was reported on Friday that the Ambatovy
mine in Madagascar will reopen in early March, after being on care and
maintenance since March of 2020. In Canada, Local 598 members gave
their Union
officials a strike mandate on Thursday, should contract negotiations
with Glencore at the Nickel Rim mine fail. The two
parties successfully reached a 4 year contract negotiation in 2017,
without a strike, when nickel was trading for almost half what it is
this month. It's a new week, and while traders might be starting it in
a foul mood, there is no reason the rest of us must follow like sheep.
The world has introduced itself to you and is playing hard to get. Now
it's up to you. Hide in the corner and hope she will find you, and you
will have the same success as the shy kid at the high school dance. You
don't go fishing with the hope of catching the smallest fish, so target
the big potential this week, work out a strategy which can be changed
on a dime, and start casting your line with some reasoning beyond mere
hopes. Stay safe out there, have a great day, and good luck this week.
Average price of LME traded cash nickel
so far this month
- $8.02/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Industrial metals decline on rising coronavirus cases in China - more
Friday's market review - Copper slips from 2013 peak as
U.S. stimulus doubts grow - Copper eased from close to eight-year highs
on Friday as doubts grew over how much infrastructure stimulus the
incoming U.S. administration will be able to deliver. - more
Global stainless steel consumption expected to grow by 11% in 2021 -
China currently has around 3 million tons of stainless steel scrap
available per year, which is growing at a rate of at least 10%. - more
Wall Street Is the Most Bullish on Commodities in a Decade - Commodity
investors are back in full force, with record wagers that crops, metals
and oil are set for a rally. - more
New proposal mooted in New Caledonia nickel plant sale - The president
of New Caledonia's Southern Province has made a fresh suggestion on how
to structure a purchase of the Vale nickel plant. - more
U.S. exports of Stainless steel wire decreased 12.00 percent from
$125.91 million to $110.81 million through the first 11 months of 2020
when compared to the same period the previous year, according to
WorldCity analysis of the latest U.S. Census Bureau data. - more
U.S. imports of Stainless steel wire
decreased 26.01 percent from $180.69 million to $133.69 million through
the first 11 months of 2020 when compared to the same period the
previous year, according to WorldCity analysis of the latest U.S.
Census Bureau data. - more
U.S. exports of Stainless steel, not less
than 600mm wide decreased 31.89 percent from $753.4 million to $513.16
million through the first 11 months of 2020... - more
U.S. imports of Stainless steel, not less than
600mm wide decreased 20.74 percent from $554.81 million to $439.73
million through the first 11 months of 2020 .... - more
U.S. imports of Nickel decreased 10.41
percent from $1.26 billion to $1.13 billion through the first 11 months
of 2020 ... - more
U.S. exports of Nickel decreased 30.02 percent
from $252.69 million to $176.84 million through the first 11 months of
2020 ... - more
Volkswagen partner Gotion unveils breakthrough EV battery -
Volkswagen’s battery partner Gotion High-Tech revealed a new battery
cell which it said may significantly reduce the cost of electric
vehicles and ease concerns over battery safety. - more
Guatemala’s ex-mine security chief jailed for murdering indigenous
leader - Mynor Padilla pleaded guilty to the 2009 death of firms
suspected of a litany of crimes in Central America by Adolfo IchMining.
- more
Fastener Distributor Index Ends 2020 at Highest Mark in 30 Months -
Sales, employment and pricing all had major month-to-month gains, while
the six-month outlook also continued its rise. - more
More Coronavirus Relief on the Way for Small Businesses - more
Coronavirus By The Numbers - here US Fed MN Covid Economic Dashboard - more
US Fed NY Weekly Economic Index - more
Resurgence - how is your state faring? - more
Friday, January 8
Daily Nickel/Stainless Steel Briefing
Nickel closed Thursday's trading
session at $8.19/lb ($18,060/tonne). Indicators at 7:00 am CST today show
nickel trading around $.06/lb
lower. Stockpiles of nickel stored in LME licensed warehouses rose on
Thursday and ended that session just over the 249,000 tonne level.
Nickel closed Thursday's session at it highest since August 2014. While
it is trading back below the $18,000/tonne level this morning, we are
still witnessing trading happening at levels not seen in over six years.
Even without the $17,900/tonne level adding major resistance, the
$18,000/tonne level offers a psychologically important line of
resistance, so if nickel is successful in breaking thru these two lines
aggressively, then 'Katy bar the door'. This bull could grow wings in a
hurry. We don't see that happening, but this bull market appears to
have begun feeding on itself and there is not telling when reality
might strike. If you have stainless steel scrap taking up room, and
didn't dump it before the end of last year, the sudden spike in price
is worth watching. Mysteel China is reporting that China’s crude
stainless steel production increased in December to 2.8 million tonnes,
up 0.6% MOM. and 15.5% YOY. China media is also reporting they have locked
down another city [Shijiazhuang] of
11 million residents, after total covid cases in that city increased to
123, in what health officials there are calling an outbreak.
China is reporting a grand total of 87,278 confirmed cases of covid
since the
outbreak began over a year ago, with a total of 4,634 deaths over that
same period. In comparison, the U.S. saw 274,190 new cases on Thursday
alone, with 4,134 more Americans dieing on that day. Markets are
betting 2021 will be a great year. Let's hope they are right, because
the first week started, shall we say, a tad rocky here in the States. Stay safe out there, and have a great weekend!
Average price of LME traded cash nickel
so far this month
- $8.00/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Shanghai copper hits 9-year high, London prices at highest since 2013 - more
Thursday's market review - Copper jumps to 2013 peak on
Biden infrastructure, stimulus hopes - Copper prices hit their highest
levels since 2013 on Thursday for a third straight day, driven by
expectations of infrastructure spending by incoming U.S. President Joe
Biden after his party won control of the Senate. - more
Ferrochrome price announcement for the first quarter of 2021 -
Shareholders of the Company are advised that the European benchmark
ferrochrome price for the first quarter of 2021 has been settled at
117.5 US cents per pound, a 3.1% increase from the fourth quarter of
2020. - source
Zimbabwe’s Kuvimba Seeks $1 Billion for 2021 Acquisitions, Capex - A
mining company majority owned by the Zimbabwe government and whose
profits will partly be used to compensate former white commercial
farmers for land confiscated two decades ago intends to raise $1
billion for acquisitions and capital expenditure. - more
How Many Electric Cars Are Built / Sold Each Minute By Brand? -
Needless to say, Tesla takes the prize for selling the most EVs.
- more
Here Is How The End Of Gas And Diesel Cars Might Look Like - more
Toyota and BHP Create an EV Series 70 Land Cruiser to Work the Mines Down Under - more
Is an Amazon-like metal fabricator possible? - How did 2020, the worst
year in recent memory, change us? No doubt, once a vaccine becomes
widely available, we’ll gradually return to the world of face-to-face
interaction with new appreciation. - more
Clogged port chokes off Chile's steel imports - Steel fabricators in
Chile are in danger of running out of steel after a bureaucratic mix-up
clogged one of the country's main ports, an industry body said Jan. 7.
- more
Coronavirus By The Numbers - here US Fed MN Covid Economic Dashboard - more
US Fed NY Weekly Economic Index - more
Resurgence - how is your state faring? - more
Thursday, January 7
Daily Nickel/Stainless Steel Briefing
Nickel closed Wednesday's trading
session at $8.07/lb ($17,785/tonne). Indicators at 6:10 am CST today show
nickel trading around $.05/lb higher.
Stockpiles of nickel stored in LME licensed warehouses rose on
Wednesday and started today just under the 248,700 tonne level. Nickel
has already traded at its highest since 2014 this morning, has
retreated, and is in the process of trying again at the moment. Earlier
in today's session, nickel nearly hit the $18,200 tonne level. The Euro
is trading lower this morning, so the commodity board, including base
metals, are showing a lot more red than green. But
so far, nickel traders have a seven year high firmly within grasp and
are showing every intention of seizing it. Two other prices we follow
daily below in the Report section spiked higher. The SHFE futures price
puts stainless steel back to where it was trading last October. We are
not seeing any figures coming out of China that reflect increased
demand there yet, so we suspect this is mostly reflective of the
increase in nickel. After two shortened work weeks due to holiday
breaks, it's Thursday in what may seem like a very long week. Stay safe
out there and have a great day!
Average price of LME traded cash nickel
so far this month
- $7.96/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Copper hovers near 8-year high on U.S. stimulus hopes - more
Wednesday's market review - Copper hits 8-year high on
stimulus hopes, supply fears - Copper prices reached their highest
since February 2013 on Wednesday as Democrats who want increased
economic stimulus edged closer to control of the U.S. Senate and a
blockade threatened to halt operations at a major mine in Peru. - more
China stainless steel soars 5% on higher raw material costs, tight
supply - China’s stainless steel futures leapt 5% on Thursday as the
metal used in vehicles and cookware extended gains driven by higher
cost of feedstock nickel and tight supply. - more
Aperam raises European stainless steel alloy surcharges for Jan -
Aperam, a stainless steel manufacturer based in Luxembourg, raised its
alloy surcharge for European austenitic stainless steel by nearly EUR
100/ton for January. - more
US steel market sentiment remains bullish: Platts survey -
Bullish sentiment was expected to persist in January in the US steel
market, according to the monthly survey of the market by S&P Global
Platts, with most participants expecting higher steel and raw material
prices in coming weeks, as well as increased production, but unchanged
inventory levels on average. - more
Iron ore price surge end-2020 fails to deter build in port stocks
- Iron ore prices rose by more than 70% in 2020, but this failed
to have put a dent on iron ore stocks held at Chinese ports, which
ended the year at almost the same level it had started the year. - more
AISI Releases December SIMA Imports Data - Based on the Commerce
Department’s most recent Steel Import Monitoring and Analysis (SIMA)
data, the American Iron and Steel Institute (AISI) reported today that
steel import permit applications for the month of December totaled
2,071,000 net tons (NT). - more
Coronavirus By The Numbers - here US Fed MN Covid Economic Dashboard - more
US Fed NY Weekly Economic Index - more
Resurgence - how is your state faring? - more
Wednesday, January 6
Daily Nickel/Stainless Steel Briefing
Nickel closed Tuesday's trading
session at $8.03/lb ($17,715/tonne). Indicators at 6:10 am CST today show
nickel trading around $.08/lb
higher. Stockpiles of nickel stored in LME licensed warehouse rose on
Tuesday and started today just under the 248,400 tonne level. Nickel
traders appear to want to test the $17,900
tonne level again, and yesterday's close puts them closer than they got
last month. This level is important as it is the highest nickel
has traded since 2014. It reached this level on August 1st of 2019,
ending a bullish run that had begun on May 1st of that year, and
starting a bear market that wouldn't end until March 1st of last year.
We are currently in the eleventh month of the current nickel bull
market. And
yes, if you were wondering, many of the major shifts from a bull to
bear or bear to bull market begin/end on the first of a calendar month.
This may apply to commodities in general, but we only watch nickel on a
daily basis. The US Dollar is weaker this morning and is adding some
positive momentum to metals, although for the time being at least,
traders appear to be in a buying mood and don't appear to care what the
Euro is doing. We rarely cover this as it could warrant its own daily
news site, but Saudi Arabia's decision to cut oil production for the
remainder of the first quarter, has driven oil prices higher, so not
only will you see more price increases at the pump, but freight fuel
surcharge increases are likely as well. Industry news remains on the
slow side, and mostly about nickel mines. The EV industry is buzzing
about leaked photos of a new car to be introduced at a car show in
China. While the media will want to make a China company versus Tesla
situation out of any new car introduced there, we look to any new
innovation that makes an EV more attractive to the general public and
thus, increasing interest and sales, will be seen as a positive by the
nickel industry, and uncharted waters for stainless steel producers.
It's the first hump day of 2021, with only 51 more to go. Stay safe out
there and have a great day!
Average price of LME traded cash nickel
so far this month
- $7.91/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Shanghai stainless steel extends rally on firm demand, nickel's surge - more
Tuesday's market review - Lower dollar, inventories propel
copper towards 8-year peak - Copper prices climbed towards
eight-year highs on Tuesday as a weaker dollar, expectations of robust
demand in top consumer China and falling inventories spurred purchases.
- more
Conic Releases Ramu 2020 Production Update - Conic Metals Corp., one of
Canada’s only pure-play nickel and cobalt producers, is pleased to
provide an update on the production results from the Ramu Nickel-Cobalt
mine in Papua New Guinea. Conic owns an 8.56% joint-venture interest in
Ramu which is operated by the Metallurgical Corporation of China - more
Zimbabwe: BNC Revenue Down U.S.$3.3 Million Amid Sales Volume Decline -
Bindura Nickel Corporation revenue has gone down by US$3.3 million on
the backdrop of reduced sales volumes owing to internal strategic
arrangements. - more
US Factories Grow at Fastest Pace Since Mid-2018 - American factories
grew in December at the fastest pace in more than two years as
manufacturing continued to weather the pandemic better than the
battered services sector. - more
Coronavirus By The Numbers - here US Fed MN Covid Economic Dashboard - more
US Fed NY Weekly Economic Index - more
Resurgence - how is your state faring? - more
Tuesday, January 5
Daily Nickel/Stainless Steel Briefing
Nickel closed Monday's trading
session at $7.90/lb ($17,420/tonne). Indicators at 6:05 am CST today show
nickel trading around $.05/lb
higher. Stockpiles of nickel stored in LME licensed warehouses fell
slightly on Monday and started today reading just over the 247,900
tonne level. The commodity board continues to show mostly green this
morning, and nickel, along with all base metals, shows no sign of
weakness. The Euro is off morning lows, but is lower than yesterday's
highs, so it it doubtful today's weakness in the Dollar is helping
much. For 2020, nickel stockpiles held in LME approved warehouses
started the year at 150,690 tonnes and finished at 246,708 tonnes. It's
Tuesday. Stay safe and have a great day!
Average price of LME traded cash nickel
so far this month
- $7.87/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Lower dollar, inventories propel copper towards 8-year peak - more
Monday's market review - Worry about Indonesian supplies
fuel nickel's surge - Nickel prices surged to two-week highs on Monday
as concern about supplies surfaced after an earthquake in Indonesia,
while base metals overall were boosted by a weaker dollar and robust
manufacturing activity in China and Europe. - more
Could steel prices soon hit $1,000/ton in the new year? - Flat-rolled
steel prices finished 2020 on an incredible high—a seemingly impossible
recovery from the incredible low seen in the spring when the
coronavirus sickened the U.S. economy. - more
Commodities 2021: US ferrous scrap market 2021 outlook optimistic following uncertain 2020 - more
What Joe Biden’s Cabinet picks mean for northern Minnesota’s Twin
Metals mining project - The President-elect has named Tom Vilsack
to be secretary of agriculture and U.S. Rep. Deb Haaland to lead the
Interior Department. - more
Tesla’s Record Sales Drive A Battery Metals Revival - Tesla’s success
in selling almost 500,000 electric vehicles (EVs) in 2020 has reignited
investor interest in companies producing battery-making metals, such as
lithium, with some miners starting to outperform the car maker on the
stock market. - more
Courtesy AISI - In the week ending on January 2, 2021, domestic raw
steel production was 1,650,000 net tons while the capability
utilization rate was 74.6 percent. Production was 1,841,000 net tons in
the week ending January 2, 2020 while the capability utilization then
was 80.1 percent. - more
Coronavirus By The Numbers - here US Fed MN Covid Economic Dashboard - more
US Fed NY Weekly Economic Index - more
Resurgence - how is your state faring? - more
Monday, January 4
Daily Nickel/Stainless Steel Briefing
Nickel closed Thursday's trading
session at $7.56/lb ($16,675/tonne). Indicators at 6:10 am CST today show
nickel trading around $.32/lb
higher. Stockpiles of nickel stored in LME licensed warehouses rose on
Thursday and started the new year just under the 248,000 tonne level.
Nickel is way up this morning, with news of a large earthquake on
central Sulawesi Island, Indonesia overnight. This is a very active
earthquake and volcano region of the world, so unless local mines have
sent word of infrastructure or facility damage, this 5.0 earthquake
would be larger than normal, but normal nevertheless. Indonesia
business media that we watch, have yet to even mention it. The U.S
Dollar is lower against the Euro this morning, and the commodity board
is a sea of green, as investors start a new year with enthusiasm and
bet on a brighter future. It's a new week, a new month, and a new
year. Hope for a brighter tomorrow is alive and well, and if you
can't find anything about 2021 to be optimistic about, today is the day
to find it. Many of you have already set goals for 2021, but if you
haven't yet, it's time. 2021 offers every one of us 'unlimited
potential'. It's up to us to go get it. So - go get it! We thank you
for starting this new year with us, and thank our new sponsors for
their support. We leave you with this thought for the new year. No
matter how bad 2020 was for you, or how good 2020 was for you, it is
now 2021. That means, at least here in most of the U.S., the 21st
century is now 21 years old and old enough to legally drink. God help
us all. Stay safe and have a wonderful day, week, month, and year!
Average price of LME traded cash nickel
so far this month
-
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Copper rises on weak U.S. dollar, upbeat broader markets - more
Thursday's market review - Top LME performer copper dips
on hazy new year outlook - Copper fell on Thursday with investors wary
about the scope for further gains in 2021 after it outperformed other
industrial metals this year as China rebounded from the COVID-19
pandemic. - more
Worry about Indonesian supplies fuel nickel's surge - Nickel prices
surged to two-week highs on Monday as concern about supplies surfaced
after an earthquake in Indonesia, while base metals overall were
boosted by a weaker dollar and robust manufacturing activity in China
and Europe. - more
China's stainless steel exports & imports to continue rising in Dec
- According to statistics, China’s stainless steel exports totaled
around 347,000 tons in November, up by 32% compared to the previous
month and also rising by 6% from the same month a year ago. - more
China's GEM seeks to double stake, take control of Indonesia nickel
project - Chinese electric vehicle battery firm GEM Co Ltd said on
Monday it aims to double its stake in an Indonesian nickel project,
becoming the majority investor to strengthen “strategic control” of the
resources amid a nickel shortage. - more
China iron ore surges over 50% in 2020, up for second straight year -
Chinese iron ore futures advanced on the last trading day of 2020 to
log a 54% jump this year, their second straight annual gain, supported
by supply concerns and China’s robust steel demand despite the
coronavirus pandemic-led disruption. - more
China must reduce steel output in 2021, says industry minister - more
Coronavirus By The Numbers - here US Fed MN Covid Economic Dashboard - more
US Fed NY Weekly Economic Index - more
Resurgence - how is your state faring? - more
(all
ton listings are metric tons = 2204.622 pounds ) Updated Monday thru
Thursday before 7 am CST, Friday version before 8 am CST - DisclaimerOriginal content and opinions copyright
www.estainlesssteel.com. All prices shown on
this page are indications only. Please note - for real time and
official LME
prices, LME requires a user subscribe to an authorized LME vendor.
Daily Nickel/Stainless Steel Briefing 
($17,810/tonne). Indicators at 6:45 am CST today show
nickel trading around $.03/lb 
Reports
Why Stainless Steel 
Thursday's market review - Copper gains as the dollar
eases in choppy trade - Copper gained on Thursday in choppy trade as
the dollar reversed gains, making commodities prices the greenback
cheaper for buyers with currencies. - 
Another commodity supercycle is coming — this time driven by renewable energy and EVs - The
transition to an electrified clean energy economy is going to result in
a monumental draw on metals and minerals from the earth's crust - 
EU stainless buyers face shortages as prices surge - European
stainless steel producers have raised their prices for 300 and 400
series hot and cold rolled coil multiple times throughout December and
January. - 
Western Areas confident of strengthening nickel market - Western Areas
has capitalised on strong nickel trading during the December quarter
despite being impacted by lower grades at the Forrestania operations in
Western Australia. - 
India’s steel production declines by more than 10% in 2020, while China
and Russia produced more steel than previous year: Worldsteel - Bucking
the global trend, China and Russia produced more steel in 2020 than in
2019. Among the top five nations, production declined in India, Japan
and the United States by up to 17.2 per cent. - 
Second Wave Hasn’t Stalled Commodities’ Momentum… Yet - The near-term
economic outlook has weakened due to new restrictions in response to
the COVID-19 pandemic’s second wave, but that has not yet filtered into
commodity pricing. - 
Steel Imports Declined 21.2% in 2020 - Based on preliminary
Census Bureau data, the American Iron and Steel Institute (AISI)
reported today that the U.S. imported a total of 1,494,000 net tons
(NT) of steel in December 2020, including 1,340,000 net tons (NT) of
finished steel (up 9.0% and 13.5%, respectively, vs. November final
data). - 
Multi-channel strategy a success for Würth Group - According to its
preliminary annual financial statement, Würth Group has reported a
sales volume of €14.41 billion in 2020 – slightly above 2019, which
was €14.27 billion. - 
China's stainless steel production rises in 2020 y-o-y - According to
statistics from the Stainless Steel Branch of China Special Steel
Enterprises Association, the production of crude stainless steel in
China amounted to around 30.14 million tons in 2020, growing by 2.51%
compared to the previous year. - 
Global crude steel output decreases by 0.9% in 2020 - Global crude
steel production reached 1,864.0 million tonnes (Mt) for the year 2020,
down by 0.9% compared to 2019. - 
Taiwan’s Yusco & Tang Eng expected to hike prices on high nickel
prices - The international nickel price has reached a six-year high
recently, coupled with the continuous increases in prices of key raw
materials for stainless steel making, such as nickel pig iron,
ferrochrome, and scrap, Yieh United Steel Corp. (Yusco) and Tang Eng
Iron Works Co., Ltd., two leading stainless steel upstream suppliers in
Taiwan, were expected to hike their domestic and export sales prices
for February. - 
Sherritt meets 2020 guidance, but shares fall - Sherritt International
on Monday reported its production results for full-year 2020, and also
provided guidance for expected production, unit costs and capital
spending in 2021. - 
Govt Seeks To List Biggest Mining Company - Zimbabwe, banking on mining
to end two decades of economic stagnation, plans to list the company in
which it has placed state mining assets to raise cash to meet
government obligations, the nation’s finance minister said. - 
Malaysia revises anti-dumping duties on steel from Vietnam - Malaysia
has revised duties on imports of cold-rolled coils of alloy and
non-alloy steel from Vietnam to 7.42-33.7 percent for the period
between January 24 and May 23. - 
Greater nickel usage, vertical integration, now major trends in EV
batterymaking: Roskill - Increased nickel content in batteries
will be a key trend in evolution of the electric vehicle market, as
consumers demand more range at affordable prices, analysts at UK-based
consultancy Roskill said. - 
Xiangyu Group's stainless steel project in Indonesia to be fully
operational in 2021 - The new stainless steel production integration
project with an annual capacity of 2.5 million tons invested by China's
Xiangyu Group in Indonesia has reached the production target of its
steel mills and ferronickel plants under the strict control of the
COVID-19 epidemic. - 
Russia’s stainless steel imports hike in Jan-Nov 2020 y-o-y - According
to statistics released by the Russian Special Steel and Alloys
Consumers and Suppliers Association (SpetsStal Association), in the
first 11 months of last year, Russia imported around 347,500 tons of
stainless steel, up by 5.1% compared to the same period a year ago. - 
Tanzania and Kabanga Nickel strike deal to develop nickel project -
Tanzania and UK-based mining firm Kabanga Nickel Limited signed a
framework agreement on Tuesday to jointly develop the Kabanga nickel
project formerly owned by Barrick Gold and Glencore. - 
No more mining operations in Tawi-Tawi’s Tumbagaan Island since 2015 –
envi exec - Mining operations on Tumbagaan Island off Languyan,
Tawi-Tawi which President Rodrigo Duterte during a Cabinet meeting on
Monday, January 11, ordered suspended and its rehabilitation stepped,
have actually stopped six years ago and has been undergoing progressive
rehabilitation, an environment official in the Bangsamoro Autonomous
Region in Mindanao (BARMM) said. - 
Tension high in New Caledonia over Vale sale - There is continued high
tension in New Caledonia over the planned sale of the Vale nickel plant
to a new consortium Prony Resources. - 
Ukraine Increases Imports of Nickel Ores in 2020 - Ukraine
increased imports of nickel ores and concentrate in physical terms by
15.7% in 2020 compared to the previous year, to 1.556 million tonnes. -
Canada Nickel to mull use of Glencore Ontario facility for processing -
Canada Nickel has entered into an agreement with Glencore Canada to
examine the potential of using Glencore's Kidd concentrator and
metallurgical site in Ontario for the treatment and processing of
nickel and cobalt concentrates, both companies said Jan. 11. - 
Volkswagen partner Gotion unveils breakthrough EV battery -
Volkswagen’s battery partner Gotion High-Tech revealed a new battery
cell which it said may significantly reduce the cost of electric
vehicles and ease concerns over battery safety. - 
Guatemala’s ex-mine security chief jailed for murdering indigenous
leader - Mynor Padilla pleaded guilty to the 2009 death of firms
suspected of a litany of crimes in Central America by Adolfo IchMining.
- 
Fastener Distributor Index Ends 2020 at Highest Mark in 30 Months -
Sales, employment and pricing all had major month-to-month gains, while
the six-month outlook also continued its rise. - 
Ferrochrome price announcement for the first quarter of 2021 -
Shareholders of the Company are advised that the European benchmark
ferrochrome price for the first quarter of 2021 has been settled at
117.5 US cents per pound, a 3.1% increase from the fourth quarter of
2020. - 
Clogged port chokes off Chile's steel imports - Steel fabricators in
Chile are in danger of running out of steel after a bureaucratic mix-up
clogged one of the country's main ports, an industry body said Jan. 7.
- 
Iron ore price surge end-2020 fails to deter build in port stocks
- Iron ore prices rose by more than 70% in 2020, but this failed
to have put a dent on iron ore stocks held at Chinese ports, which
ended the year at almost the same level it had started the year. - 
Conic Releases Ramu 2020 Production Update - Conic Metals Corp., one of
Canada’s only pure-play nickel and cobalt producers, is pleased to
provide an update on the production results from the Ramu Nickel-Cobalt
mine in Papua New Guinea. Conic owns an 8.56% joint-venture interest in
Ramu which is operated by the Metallurgical Corporation of China - 
