Metal Monday Episode #26 With Nick and Brett, June 28, 2021

Tune into this weeks metals market update with Nick and Brett!

Transcription

all right last metal monday of the second quarter actually huh hours halfway halfway halfway through the year which is crazy man it feels like this year just started to me for some reason um it’s hot hot here in idaho it’s going to slow our flow down but what a nice thing about the markets is we saw a lot of a little bit of recovery on copper you know we saw it kind of bounce back yeah yeah i think it’s gonna i think it’s based now i think it’s i think it’s gonna come back um i still think we see five bucks this year um do you think that because of the demand just basically the demand yeah the demand for it i mean there’s haven’t stopped printing money i mean they they’re you’re still going to get inflationary pressure they’re going to talk it off you know the chinese are going to try and talk it down as much as they can but i think that demand is there i mean think about even steel for example right i mean it’s hot here it’s hot in the northwest in general it’s hot about everywhere

this flo as long as the steel mills have the order orders and their order books are full through august at least the scrap flow has to come from somewhere and it’s it’s flowing better than maybe it has years ago but not that much better and the demand is significantly higher for new steel so that the the prices are going to come up like it’s just i’m it’s a matter of time and i’m not saying that i’m not predicting how much or when but i i predict a strong ferrous market for the next few months gotcha and maybe all the way into 2022. i think so that’s what i’ve that’s everything i’ve read and flow isn’t that good and i don’t i talk to a lot of scrap people believe it or not i believe it the flow ain’t that good and the only people that have good flow are people that sat on iron the last few months you know i mean we you know even in our yards right like we have iron because we held iron at the beginning of the year because we felt that the price was going to come

up right so it’s not that our flow is just off the chain right now on the ferrous side it’s that we held scrap for a long time we just sold a few loads here and there but we held we hailed a lot of scraps because plus percent of our flow yeah because we felt that the pricing was going to be better so once we clean that up then we’re back sitting in the same position as a lot of other people just waiting on flow right so and we’re i’m going to sell into this market if the price is fair and the price is reasonable because i mean i like where it sits today but i still am pretty convinced that it’s going to be stronger going forward so you anticipated up ferris market then obviously i anticipate and you’re not sure sideways to up and realistically it probably should be up considering what the steel mills are charging for well we see that articles all over the place if you’re paying attention to like the amm or any other metal you know website this record record setting numbers record setting numbers record setting numbers

then the beginning of the month hits and oh the market’s not as strong as we thought it would be it makes no sense you know maybe i’m just not smart enough to figure it out but it makes no sense we don’t sell the plate mills right we sell primarily the export market and two primarily rebar mills and i one of our customers um they do a lot of cutting a lot of plate cutting um you know quarter inch to half inch plate you know some smaller stuff you know a lot of you know they they probably have five water jet you know glass marked tables they go through a fair amount of skeletons they told us the new corps talked to them um here the other day and said their price is going up 200 a ton for plate right crazy yeah so i mean you tell me like i haven’t i don’t i’ve never seen a 200 ton ferrous scrap price increase no no we don’t sell to those mills yeah so it’s hard for me to kind of extrapolate that and say well the rebar market should be x but i do

feel like at some point that trickle down you know is is is coming so yeah i mean what to wait and see and you know i anticipate some up markets across the board um it just seems like when one commodity gets real hot the others tend to follow yeah and that works both ways one one fall that’s where i got you get a little scared when you see copper fall 40 cents in a week you know like your butt whole time yeah yeah how much oh all those good buys we made a week ago just went to you know if anybody if anybody wants to feel any better we i have like four loads of chops that are unhedged so four times you know just shy of 70 000 pounds like 200 and you got some pgms out there too right that’s not a lie yeah i know i know so anyways well anybody out there that’s uh unhedged i i feel your pain sometimes and you get i mean to be in this business you gotta get comfortable with being uncomfortable cause you gotta make the calls you gotta keep buying you can’t

be scared to buy or like why we why are we here you know i agree hey real quick brad from detroit scrap and scrap university sent you something brett oh so i told him i’d give it to you on the show dude i it’s hard to beat a a box that has a firework on it oh and i kind of i i cheated and looked at him already so did you get jealous a little bit yeah a little bit i mean they’re perfect for obviously the fourth of july dude either brad’s telling me i’m fat i need to like go for a jog or that he found me some badass captain america shoes exactly i think it has something to do with all the posts about you know our new captain america truck which is a shout out to our hauling department dude those guys killed it on that trail yeah man yeah and people i get the question all the time like are you guys gonna work that truck and i said every truck we have works right yeah we put a lot of pride into our equipment and our stuff but we

work every every piece of equipment every truck we have so brad man these are awesome dude i’m so stoked i know what i’m gonna be wearing as long as my you know as long as uh my feet don’t sweat to death over the fourth of july but i know what i’m i’m gonna be wearing here the next uh next little bit of time those are bad ass thank you sir all right and we’ll be closed our yards are gonna be closed on monday so we’ll figure out how to squeeze in a metal monday next week so we’ll see you guys in a week good monday monday zoom or something yeah we’ll do something all right thanks everybody appreciate it guys thank you brad appreciate you man