U.S. raw steel production bounced back this week to 1.803 million tons — up 1.2% from last week and up 5% year to date. The 50% tariff protection continues to hold domestic output firm even as the broader economy expands at a modest pace.
Oil Crosses $111 — A Near 4-Year High
WTI crude surged to $111.54/barrel this week, the highest level in nearly four years. The national average gasoline price reached $4.11/gallon as of Friday — the psychological $4 threshold has now been breached nationally. The escalation driver is direct: the U.S. has pledged to attack Iranian infrastructure if the Strait of Hormuz is not reopened. That threat has put a significant risk premium into energy markets, and traders are pricing in a scenario where the conflict deepens before it resolves. U.S. crude production held steady at 13.657 million barrels per day despite the price surge, as producers remain cautious — concerned that prices could fall sharply the moment the conflict ends. The active rig count ticked up slightly to 411, reflecting the same cautious-but-watching posture from the drilling community.
Scrap & Steel
Scrap steel #1 HMS composite held at $388.33/gross ton for another week. The April pricing picture remains uncertain — demand signals are mixed and the market is in a wait-and-see mode as the global economic picture evolves. Hot-rolled coil steel moved up to $53.75/cwt ($1,075/ton) on slightly firmer demand and continued support from tariff protection.
Non-Ferrous Metals Push Higher
Copper climbed to $5.68/lb on hopes of a Middle East resolution — though as Greg notes, the situation is not looking promising. Copper inventories are near a six-year high, which will act as a ceiling on how far prices can run even if sentiment improves. Aluminum surged to $1.57/lb ($3,468/MT) — approaching a four-year high — after the largest aluminum producer in the Middle East was struck by Iranian forces, removing significant supply from the market.
Jobs Report: The Best Since December 2024
The March payrolls report delivered a positive surprise. The U.S. economy added 178,000 jobs — the strongest monthly gain since December 2024. Healthcare led with 76,000 new positions (though 35,000 of those reflect workers returning from a strike). Construction added 26,000 jobs. The unemployment rate fell to 4.3%, though total employment actually declined by 64,000 to 162.85 million — a discrepancy worth noting. The broader unemployment measure that includes discouraged and underemployed workers rose to 8%. Average hourly earnings increased 3.5% year over year — the slowest pace since May 2021. That’s a double-edged number: it helps keep inflation in check but reflects real pressure on workers’ purchasing power in an environment of rising energy and food costs.
Manufacturing & Retail
The March manufacturing PMI rose to 52.3, driven by stronger output and increased new orders — a constructive read. However, business confidence dipped as rising energy costs and tariff uncertainty weigh on planning horizons. February retail sales jumped 0.6% from January — the best monthly gain in seven months. Department stores and healthcare/personal care led the way, while food & beverage and furniture fell. Consumer spending, which drives the majority of the U.S. economy, is holding up better than sentiment surveys suggest.
Wall Street Bounces Hard
The Dow Jones Industrial Average surged 1,338 points for the week to close at 46,505. The strong jobs report and solid earnings expectations fueled the rally. That said, Greg’s caution is warranted: markets remain highly volatile, swinging sharply on each new development from the Middle East and the domestic economic data calendar. This is not a resolved situation — it’s a volatile one with occasional large moves in both directions.
This weekly report is produced by BENLEE Roll-off trailers and Roll off parts online parts store to support our customers, suppliers, and partners across the recycling, scrap metal, and waste management industries. Questions? Call or email us anytime. Have a safe and profitable week.
— Greg Brown, President & CEO, BENLEE Roll-off Trailers
734-722-8100
greg.brown@benlee.com
