Source: Adobe Stock/Karen Roach
This Thanksgiving Holiday, all of us here at MetalMiner would like to share what we’re thankful for this year.
(Mostly) Transparent Markets for the Metals You Buy
While it’s been a great year for buyers, with low commodity prices across the board, we are constantly reminded that prices are only as correct as the information behind them.
This is the first full year for the new LBMA gold and silver prices. More open and transparent processes for precious metal prices can only help purchasers in the long run by giving them more information about what goes into the prices they are quoted. We are thankful for market transparency in all its forms.
That’s why our own MetalMiner IndX is updated daily with over 600 price points from domestic and multiple international markets. We’re always happy to add more open and transparent price points.
Action Against Foreign Steel Dumping
This week, the annual bilateral trade meeting between the US and China yielded what steel advocates are calling an important step forward on addressing the issue of China’s steel overcapacity. Secretary of Commerce Penny Pritzker and US Trade Representative Michael Froman concluded high-level meetings in China, as part of the Joint Commission on Commerce and Trade (JCCT), wherein the two governments agreed to hold further discussions in 2016 regarding capacity, production and trade in the steel sector. The official US government fact sheet on the meeting recognized that “China’s exports of steel and aluminum are large and growing, and are the central cause of a glut of supply on the global market.”
American Iron and Steel Institute President and CEO Thomas J. Gibson said, “Overcapacity in China’s steel industry is a major factor fueling the import surge currently injuring the US industry. AISI welcomes the work of US Commerce Secretary Penny Pritzker and US. Trade Representative Michael Froman to engage with their Chinese counterparts at the JCCT on this important subject, and we look forward to the ongoing work of the US and Chinese governments on this topic through the JCCT’s US-China Steel Dialogue.”
We have always been thankful for our domestic steel industry and the millions of jobs and steel products it provides. We have also regularly documented how the overcapacity situation in China leads to dumping of products here in the US and elsewhere. Any progress on addressing the root problem is something to give thanks for.
The bearish metals market has allowed some end user markets to grow thanks to lower prices for materials. Both residential and nonresidential construction have showed strong growth this year, supporting construction employment and providing facilities for family homes, businesses and institutional users.
We only wish that the manufacturing numbers were as good, as manufacturing has all the same positive effects on our economy as construction does. We’re thankful for both and doubly thankful for all of our MetalMiner readers, the procurement professionals who purchase raw materials and regularly fuel the engine of our economy.