Banner
Regional Manufacturing Outlook
Thursday | 28 February, 2013 | 4:16 pm

Northeast/Mid-Atlantic

By Bloomberg

Northeast/Mid-Atlantic region on firmer footing heading into 2013

February 2013 - Manufacturing activity in the Northeast/Mid-Atlantic region recently picked up after experiencing somewhat of a lull in the second and early third quarters. Gauges of business conditions from the New York and Philadelphia Federal Reserve have rebounded after bottoming in September and June, respectively. Although manufacturing activity has been uneven, downstream sectors like automotive have been a bright spot, with total annual sales eclipsing the 15 million mark in November for the first time since February 2008.

While gauges of manufacturing activity have remained firm in recent months, durable goods orders (NSA) growth is near its lowest level since early 2010 because companies continue to pare back investments due to the uncertainty surrounding fiscal cliff and tax issues. Despite this, both housing and automotive continue to be bright spots in the economy. Total housing starts hit their highest level since July 2008, driven by gains in the multifamily segment as opportunistic investors continued to take advantage of low rates and buoyant demand for rental units.

Turning upstream, U.S. steel prices trended lower through 2012 with mini price cycles characterizing the hand-to-mouth buying many downstream customers have been exercising. Declining utilization levels, stagnating imports and declining inventories have helped prices find a floor around $600 per short ton, in addition to stable (for coking coal) and rising (for iron ore) raw materials prices.

Going forward, buyers should be aware that prices are globally linked and activities in China heavily influence what happens domestically. Steel prices recently have been rising in China on the back of higher iron ore prices and healthy demand. However, recent strength could fade in the first quarter as restocking comes to an end and steel prices lose their upward momentum. Oversupply will remain a key issue in many markets and will likely continue to keep steel producers in price-taking mode for now.

To view the full report, click here

Data provided by Bloomberg

Interested in purchasing reprints of this article?  This e-mail address is being protected from spambots. You need JavaScript enabled to view it

 

 

Current Issue

MM-Cover-9-14-current

September 2014

ON THE COVER: 
Tense trade
Reaching a tipping point in volume, steel imports face the weight of politics.

MM-Digital-button-current1

Subscribe: PRINT/DIGITAL MAGAZINE - eNEWSLETTERS

Midwest-MM-home-ad-5

Advertisement

Modern Metals on Twitter

White Papers

More White Papers >
Banner

Industry Partners

Aluminum

Coil Processing

Rolled and Extruded Aluminum Products

Stainless, Nickel, Aluminum, Pipe, Tube & Bar

Sapa Extrusions North America Braner USA Aleris Rolled Products Prudential Stainless & Alloys, L.P.

Bar

Butech Bliss

Sawing Technology

Steel

Gerdau Special Steel North America Machine Concepts KMT Saw Parker Steel Co.

CNC Cutting (Plasma, Waterjet, Laser, Router)

Red Bud Industries Metlsaw Systems Summit Steel Corporation
Multicam Inc. Tishken Sawblade.com

Thickness Gauges

CNC Solutions

Laser Cutting Machines

Service Centers

Advanced Gauging Technologies
FastCAM Inc. Trumpf Admiral Steel

Tube & Pipe

Coated Coil

Lubrication Systems

United Performance Metals Independence Tube Corp.
Centria Coating Services Unist, Inc.

Software

Turnkey Finishing System

Double Globus Inc.

Machining Centers

Enmark Systems, Inc. Intellifinishing
Dura Coat Products, Inc. Handtmann CNC

Specialty Roller Coverings and Coatings

Waterjet

Metal Coaters

Metal Alloy Analysis & Verification

American Roller Company OMAX Corporation

Coil Coating

Thermo Scientific Niton Analyzers

Stainless Steel

TECHNI Waterjet
Chemcoaters

Metal Finishing & Deburring

Straub Metal International

Welding

 

Supermax Tools Ta Chen International, Inc. Koike Aronson

 

Plate

 

 

 

Artco Group

 

 

TrendPublishing

twitter facebook linkedin rss