Podcast Transcription: Metal Monday Ep. 4 - 1.25.2021

Updated: May 5

Hosts, Nick Snyder and Brett Ekart, talk about their weekend shenanigans and the scrap market prices for the week of January 25, 2021.

Nick:

Welcome everybody. I'm sitting here with my dude, Brett, how you doing man?


Brett:

Good man. Another "Metal Monday." Keep knocking them back.


Nick:

How was your weekend?


Brett:

It was awesome. My kids, we had two basketball tournaments. We got our ass kicked.


Nick:

It's good to have that happen.


Brett:

We lost two games on Friday and then, I think, on Saturday we lost two more and we won one at the end. Nobody could sit down on Sunday cause we got our kicked.


Nick:

How did they handle it? Did they get upset?


Brett:

Yeah, they don't like to lose.


Nick:

That's good.


Brett:

They have that competitiveness.


Nick:

They got that fire in them. Not everyone has that fire in them.


Brett:

I know. That's why it's hard for me, but I'm like, dude, I tell my kid all the time, like "You guys want to win, right? You better get better, cause you're getting your butts kicked." I don't know if that's the right way to go about it, but that's what my dad would have told me so I guess that's my job to tell him "Oh you want to win? You better figure it out."


Nick:

I got a, real quick, funny story about this weekend and this is how I felt really old this weekend because Friday night I was up till two in the morning. Just take a wild guess what I was doing.


Brett:

Posting stuff on social media?


Nick:

Nope. Building a puzzle with my oldest daughter and her grandma.


Brett:

Oh. Oh wow.


Nick:

Till two in the morning.


Brett:

You didn't have any drinks?


Nick:

No, no alcohol zero.


Brett:

Geez. That's probably how you stayed up till two.


Nick:

We started it. I got there at like six. It was a huge puzzle and, I'm going to give these shots to our brains behind this, Sage, to show everyone. The hardest part about it, the edges were all within it. I'll just show you real quick. After we got done, it was like move it around. There was a secret portal, for another 200 pieces, but it was awesome, to do that with my daughter.


Brett:

That's cool.


Nick:

Later I was like, "Gosh, I'm getting old man"


Brett:

Doing puzzles.


Nick:

Up till two in the morning. I felt like I was up till two in the morning, the next day. I still woke up early.


Brett:

That's a part of getting old man.


Nick:

Well, anyway, let's get into it. What's going on in the market today?


Brett:

The precious metals are a little bit weak this morning, Palladium, Platinum, off a little bit. Rhodium, I think it was off by a thousand bucks. Copper was off a couple cents this morning, nothing big. Nickel was up again. Aluminum was kind of sideways-ish. Generally speaking, the ones we watch, nothing too crazy. You never like to see red on the charts, but that's life. We're going to see some red next month in the ferrous markets, but it is what it is.


Nick:

Do you have a guest? Down 40? What are you thinking for the west coast?


Brett:

I think they're trying to talk it down hard, harder than it really just because, my belief is, there is still lack of scrap. Maybe not as lack as there was a few months ago, because the pricing has definitely helped that cause. But, if some export ships get sold, especially off the west coast, that's really going to limit the amount of scrap available. I mean, even with the pricing the way it is for us, in some of our yards, it's still very thin. There's some of our yards, in different parts of the state, we're loaded and we're going to make a pile, that make you shake your head at pricing. If we can't sell it right. Then I'd rather have scrap on the ground then money in my...


Nick:

You just went to Heyburn. That thing is just, loaded to the gills.


Brett:

I'm not going to sell the shit for less than it's worth.


Nick:

Here in Boise, we're loaded.


Brett:

Now's not the time, just because I believe that the price of scrap should be where it's at this month or better. I don't think if you try and take it down. Then I think that's very shortsighted. It's short-sighted in the fact that, you're squeezing a market that doesn't have much to squeeze, especially if the price of new steels up and you want to keep it up, then I'm of the opinion that, a breather is understandable, but if you try and take it down hard, then a lot of people are just going to lock it up.


Nick:

I reached out to one of my friends, Mikey Foon, over in Detroit for Admiral Metals. I was just picking his brain on what he was hearing, over there. He was talking to down, just shred grades 20 and then everything else sideways. It's kind of, a different narrative over there right now. And obviously that can change, but I just was curious.


Brett:

It depends on what your options are, depends on what your options to sell material are. And for us, we have a few options. We have, definitely homes, that we like to go with our material. I also think it's, you're in the driver's seat if you have scrap. Maybe not as much this month, but that doesn't mean next month, there's a whole 'nother ball of wax, the month after that. I don't believe the narrative of down 50, down 80 going back to, I call bullshit.


Nick:

Yeah. Yeah, I feel like we're in store for a good run still. I mean, maybe we dip this month and we see some recoveries in March. That's what I'm thinking, but we'll see.


Brett:

If I just make a pile and it goes sideways on me then I guess I just got a big pile of scrap I got to wait on. So it is what it is.


Nick:

Yeah. We'll see what happens.


Brett:

All right, man.


Nick:

All right. Thanks everybody.


Brett:

Take care.