August 10, 2020
This is the Global Economic, Commodities, Scrap Metal and Recycling Report, by our BENLEE Roll off Trailer and Lugger Truck, August 10th, 2020.
U.S. weekly steel production rose to 1.328 M tons as the U.S. Economy slowly reopens.
Oil price rose to $41.11/b on slow global growth and U.S./OPEC Supply Cuts, to get prices up.
The U.S. Oil rig count fell to 176 a decade plus low, down a shocking 89% from the 2014 high, as low prices and the U.S. OPEC deal to cut production remains in place.
U.S. weekly oil production fell to 11.0M/b/d near a two year low on the U.S. OPEC production cut agreement and on low prices.
Scrap Steel #1 HMS Export Buying price Philly, rose to $205/GT as the low dollar and foreign economic growth is fueling export demand.
Scrap steel #1 HMS price rose to about $213/GT as a weak dollar boosted exports and on slow U.S. Demand Growth.
Hot Roll Coil steel rose to $22.89/cwt as it remains near a multiyear low on slow U.S. economic growth.
Copper fell to $2.79 per pound, on strong China growth, but slow global growth in demand.
Aluminum rose to $.78.7 a multi month high, excluding spikes as the U.S. imposed a 10% tariff on Canadian Aluminum imports and on slow global growth.
Gold Price rose to $2,035/oz after hitting record $2,075 on low U.S. interest rates, inflation fears as the U.S. government engages in record spending and running record deficits.
July’s Global Economic Index, rose to 50.8, from June’s 47.7. With over 50 being expansion, the global economy has begun to grow again.
June’s U.S. Balance of Trade improved to a Negative, yes Negative $50.7B, which was better than May’s 18 month low. The trend though continues to be worse.
August’s U.S. Economic Optimism index rose to 46.8, but since under 50, it marked the 5th straight month of outright pessimism. August was lower than May and June at 49.7 and 47, due to COVID resurgence concerns.
July’s U.S. jobs reports rose 1.763M a great and huge number, but there are still 12.9M less jobs in July vs., February, 5 months ago.
July’s U.S. Unemployment rate fell to 10.2%, a nice drop, but still higher than the 2009 10% high.
July’s U.S. Manufacturing index rose to 54.2, the highest since March 2019, which is great, but note the trend has been down since 2018. July new orders rose, but employment was down.
U.S. Weekly initial unemployment claims dropped to 1.186 million people, which was the least since COVID hit the economy. Weekly claims were 200-250,000 per week for years, pre-February. This is clearly an improvement, but still horrific.
The U.S. 30 Year Mortgage rate fell to 2.88% a new record low. U.S. homeowners should consider refinancing their homes.
Wall Street’s Dow Jones Average rose 963 points to 27,433, as added Federal stimulus remains in flux and trade tensions with China escalate.
As always, feel free to call, or email me with any questions. We hope all have a safe and profitable week.