-Although, the spot market drifts sideways for the moment with a fixed gaze on the labor talks between the USW and ArcelorMittal, one group levied its opinion on upcoming pricing:  the futures market.

-Each day last week, the forward curve drifted downward paring $20/$25 from calendar 2013 prices.

-News out of China did nothing to buoy hopes about near term price rally. Prices for the big three steel related commodities, iron ore, rebar and coal, continued their downward spiral exacerbating anxiety regarding  the delta between US pricing Chinese bands.

-On the home front, Mother Nature has affected supply and may be poised to impact demand. The severe drought has created unnavigable conditions on the Mississippi River and some of its tributaries slowing scrap and other input flows as well as impeding the shipment of metal products. If the Gulf storm Isaac hits the Gulf Coast with intensity, further disruptions in material movement will surely follow.

-And if the weather and market forces aren’t enough to boost prices, central governments seem willing to create a tailwind. Brazil’s government led by example with their $66 billion stimulus package this month. 

-The European Central Bank inched closer to another round of bond buying hoping to drive down yields on Spanish and Italian notes.Speculation has increased that the Chinese government may initiate a new infrastructure stimulus package.

-The US Fed has hinted that QE3 could be initiated as soon as September. Any of these state sponsored programs would be a shot in the arm for global commodity prices.