Metal Monday (Tuesday) Episode #22 with Nick and Brett, May 31st, 2022

On this post Memorial Day episode of Metal Monday, Nick and Brett discuss what the markets are looking at as May wraps up and what to expect in June and the rest of the summer.

Transcription

that’s usually how it goes all right brett metal monday on a tuesday how you doing after memorial day you know man i’m doing good we had plans to go camping but those didn’t really come to fruition thanks to uh pretty shitty weather pretty much everywhere over here kind of in the northwest yeah a lot of rain i mean we had a it was decent saturday like day and then it really started raining hard so i think some people braved it i just anymore you know it was a i just didn’t have the heart to go get it done i guess so i just had a crazy week this week and went hung out with my parents and with my my kids hang out with their cousins and did some day drinking yeah that was what it was you know but cooked up some breakfast on saturday and yeah we just hung out we just had a good time played some games but i know really the weather in the hills was kind of rough too rough for me to get very motivated i guess so june’s tomorrow ferris is going to be down

is that still the verdict everywhere as far as i as far as i know everybody’s been talking down the warnings you know the world’s coming to an end warnings so there’s guys falling off 30 40 you know i think it’s one depend on the grade but you know depends on who you sell to you know some people try to cut prices early so maybe the actual june cut won’t be as bad some people will price so just really is just going to depend on what you’ve got to sell probably what like what item do you have you know to move and i think it’s going to be i think it’s going to be a little bit more bloodier than maybe anticipate at the beginning of the month that’s for sure okay so buckle up okay well i mean next week we’ll have that number hopefully yeah i i think it’s you’re looking at 30 to 50 bucks you know okay i mean i i think that’s a that’s a going to be at least the talk okay unless something dramatic happens between now and tomorrow or because i don’t i don’t know that anybody

will you know be out at the in the market tomorrow yeah but i bet the trade goes through this week maybe drags in the beginning next week okay if i was a vet man okay and non-ferrous how’s it looking decent you know i mean you saw that you know copper kind of bounced off of bottom and you know was hanging around at 4 30 most of the day today um nickels struggling and really you know it’s it’s the demand side’s really struggling so nickel at 12 and some change isn’t terrible but there just isn’t a lot of demand for you know 304 or 316 slain stainless so that’s that’s driving those prices down aluminum’s holding its own it was off a little bit today but generally speaking it’s kind of it’s hey it’s hanging in there midwest premium i think is still around 35 and some change sense so you know aluminum pricing still fairly robust pgms are you know they move up and down a little bit they’re they’re kind of still you know fairly flat the last couple weeks no major movement no major move up or down you know so

we’ll see kind of what what that brings but i’m still cautiously optimistic on the pgms and optimistic you know at least on copper you know that there’s still there’s still a lack of inventory you know if the chinese come back and they get they kind of work their way through this whole covid zero program i think you could see copper prices really bump again it feels that way it feels that way with copper in the pgms at least i mean it seems like the demand is still there just everyone’s weighing on china i feel like ferris could definitely struggle next few months but ferris and nickel might have a rough couple months into the summer i firmly believe if there’s any demand for ferris what’s going to kill the deal is that there’s there’s true demand destruction which means there just isn’t a lot of demand for you know hot roll cold roll coil beam you know some of that stuff because then it doesn’t really matter what the supply side looks like that’s going to be rough a rough go well the new still they raised rates last month yeah there’s still a

decent if there’s still a decent demand i feel like the supply side on the scrap is starting to dry up it feels that way and the price is still fairly reasonable and you know at least until you get to june july and if this thing comes off then we’ll see but i don’t know i got i’m that one i’m gonna leave a little more bearish on at least in the short term the next couple months but you know i feel like on the you know on the pgm side non-fair side you know we could see some decent you know price action yeah i talked to two of my our customers that buy new steel they got a bump up like they raised their price last month yeah and they got warned that there’s gonna be two more raises this summer so you know and you know then i told them like well scraps down and aren’t well you know so they look at you like you’re like bullshitting yeah and i’m like i’m telling you the truth you know but uh but uh that’s always just fascinating to me that it could be

that way on one side in another way on the other side well just what’s killing the market right now is the strength of the dollar yeah we talked about last week and seems to be the theme lately but there really isn’t a great export market for the scrap and that’s just what’s hurting hurting the scrap pricing more than anything i think that’s you all right we’ll wait and see all right guys looking forward to june have a great day thanks everybody bye