September Market Minute 2024

Out on the road, Jonathan, our customer service specialist, has been hearing from customers that business is starting to pick up. While some are holding off until after the first of the year to see where prices land, more and more are seeing signs of growth already.

Steel Prices: Steady as We Go

Steel prices have leveled out this year, with hot rolled coil (HRC) dropping about $400/ton since January.

While there have been some ups and downs due to planned outages and global supply shifts, things have been stable overall. With fewer imports and longer lead times for foreign steel, domestic production is holding strong, meaning you can expect prices to stay steady for the rest of the year.

Aluminum: Buckle Up for a Wild Ride 

Aluminum has been all over the place in 2024. Early price rallies, fueled by hopes of a big Chinese economic stimulus, quickly fizzled when those plans didn’t pan out.

Prices have since dropped to around $1/lb., but alumina—the key material for aluminum—has shot up 47%. That’s putting the squeeze on smelters, so we could see more price swings ahead, depending on demand and rising raw material costs.

Nickel Prices Remain Under Pressure 

Nickel and stainless steel prices are still feeling the squeeze from an oversupply out of Indonesia, which has been flooding the market since early 2023. Inventories have tripled over the last year, leaving producers scrambling.

Unless production slows down or China steps in with some economic stimulus, nickel prices could keep sliding, potentially forcing higher-cost producers to shut down. Keep an eye on this one—it’s a market to watch.