How did the wildfires in Canada affect the US steel market ?

The Construction Monthly Metals Index (MMI) remains in a tight range despite falling more than in the previous three months. In addition, the continued decline in steel prices led to downward pressure on the index and decreased by 5.04% compared to the previous month. Prices of H-beam steel and steel rebar increased in the first weeks of June as the market continued to decline.

How Wildfire Affected Construction Activities in the Eastern US ?

Some American construction companies;  It was heavily affected by the smoke from the forest fires in Canada last month. While the smoke from the fire was effective in all US states, it left the construction activities and construction workers, which are active in the New York region, in a difficult situation. In addition, the resulting poor air quality also reduced the rate of egress. This situation, which led to stagnation in construction activities, made the US market economically risky.

As a result of the forest fire that started in Canada and still continues, the smoke continues to enter the northern border of the USA. If the reduced smoke from time to time enters the Eastern USA; Experts report that the construction industry will experience serious disruption.

Latest Situation in Rebar - Infrastructure Projects Relationship

Although steel prices are declining in the construction market, infrastructure spending is supporting various materials, such as steel rebar and h-beam steel,  thanks to the Bilateral Infrastructure Agreement. Thanks to government support construction steel, aluminum and other metal commodities continue to be preferred.

Summer months have an important place in the construction industry. While construction becomes easier during the warmer months, it becomes more painstaking at the same time.

The US Economy Will Continue to Be Affected Negatively

It seems that the debt ceiling problems in the USA will affect not only the construction market but also the US economy in the long run. The consequences of breaking the debt ceiling are already disrupting the financial balances and damaging the construction. If this situation continues, the US construction market will be affected for a long time. In order to be least affected by this situation, contractors; It should break out the main and sub-contracts to determine how the parties will pay, and determine the impact of the federal government's non-payment.

Even when all this is achieved, the construction industry may decline and there may be disruption.