-RG’s announcement of the imminent idling of all of their steel making facilities was the big news last week.   The move was seen as inevitable; however, there was a spike in the HRC futures.   Any upward pricing bias will fly in the face of a stronger dollar and weak international markets for just about all ferrous products.   We expect little reaction from the USA buying community on the RG news, other than a short term re-distribution of high-carbon business from Warren and the CRC business out of Yorkville.  

-Scrap numbers are poised to settle substantially down in June—maybe $ 40 lower for many grades.  This will give EAF producers more latitude to cut pricing to fill light order books.

-Some commodities have registered small gains recently, halting steady downward  trends for iron ore, oil and zinc.

-China still continues to produce steel at a breakneck pace as Asian mills attempt to convert and sell their expensive iron ore.