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Nick: Happy Metal Monday, Brett. How you doing?
Brett: Today’s a good one. I mean, you’re close—you’re close to that 4:30 you were talking about.
Nick: You said once it hits 4:30, I win.
Brett: No, no—it’s got to be 4:30 on New Year’s.
Nick: Oh, come on. Stipulations like an insurance company.
Brett: You’re two and a half cents away, though. It’s at 427.5 right now.
Nick: I saw that China came out this morning, and their economic group said 2025 will be the year they push some real stimulus into their market. I think that’s what tipped things off this morning.
Brett: So, when they push stimulus into their market, does that mean they’ll start building more, loosening up credit, or lowering interest rates?
Nick: Exactly. Their banks will be required to keep less in reserves, which means they’ll loan more money. Essentially, they’ll loosen up their monetary policy. What I was reading this morning is that they’ve been doing some small things to get housing going and other areas, but this time they’re talking about a major stimulus—something similar to what they did during the Great Recession in 2008-2009.
Brett: That’s big.
Nick: Yeah, they’re calling it the “Bazooka.” The markets are reacting, and I think part of it is also because Trump got elected. He’s been talking about tariffs on Chinese goods, which puts pressure on China to rely more on their domestic consumption to drive their markets and GDP.
[2:35]
Brett: Makes sense. Well, we’ll see if all that comes to fruition. I hope you win.
Nick: I hope it goes to 450 and then nose-dives on New Year’s Eve—just to make things chaotic for a day.
Brett: You’d rather lose money just for one day of chaos?
Nick: Absolutely. But honestly, I’d be happy to lose that bet if it runs to 5. I’d be high-fiving you because that would be better for everyone than $100 in my pocket.
Brett: Agreed. Platinum and palladium are up. Aluminum is sideways but still strong.
Nick: Yeah, aluminum pricing is holding up well. Steel is the weak one right now, though.
Brett: That’s because the dollar is so strong, and China is dumping cheap billet into other countries like Turkey and other parts of Asia. That makes it tough for domestic steel until we get some positive momentum on the U.S. manufacturing side.
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Nick: I think we’re queued up for a stronger manufacturing year in 2025. The optimism is definitely there.
Brett: Yeah, I was reading about the manufacturing confidence index. It’s showing a big boost in confidence for small and medium-sized businesses. Confidence doesn’t always translate to direct sales, but it’s a step in the right direction—exactly what we need right now.
[4:57]
Nick: I’m looking forward to 2025 and wrapping up this year. The holidays are here—it’s crazy.
Brett: Yeah, we’ll close out the year and hopefully see better commodities numbers in 2025. This week and next are full weeks, and then we’ve got two short ones.
Nick: Then we put a bow on this year, and it’s done.
Brett: That’s right.
Nick: Thanks, Brett.
Brett: Thank you, Nick. Have a good week!
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