It was another incrementally positive week for the steel market as lead times and prices moved slightly higher. The supply side adjustments (mill closures) are starting to take effect. Further, the trade cases have had an impact as well as import data showed a sharp drop in imported tons for December and January. CRC and HDG products are in greater demand as the construction industry continues to gain momentum. However, data from the demand side has continued to be worrisome. A disappointing December Durable Goods report was released last week with new orders down 5.1% MoM and down 0.6% YoY. New orders for durable goods ex-transportation were down 1.2% MoM and down 3.2% YoY. New orders for core capital goods were down 4.3% MoM and 7.5% YoY. November’s MoM data was revised down to -0.5% from 0% for new orders, -0.5% from -0.1% for new orders ex-transportation and -2.5% from -1.8% for new orders of core capital goods. Below is a breakdown of the report: