Steel/Scrap: Pricing Pause or Inflection Point? – UBS

Steel Feb 05, 2011 No Comments

Slipping scrap makes buyers skittish

Global scrap prices are falling and UBS industry contacts see more weakness ahead. Scrap is often a leading steel price indicator.

Even with Turkish buying and reasonable U.S. demand, they heard shred was $440/t this wk from a peak $520/t in Jan. as “prices were just too high” and buyers had rebuilt inventory. Chinese new year’s typical pause may be part of the weakness, but spot met coal also seemed eager to slip once it was clear Australia ports were spared the brunt of the recent cyclone. Scrap is often a leading steel price indicator.

via Steel/Scrap: Pricing Pause or Inflection Point? – UBS.

Rod Sherkin

Rod is a former senior executive, responsible for Purchasing, for both Pillsbury and Ball Packaging back in the 80’s and 90’s. Since then, he has continued to work in the Purchasing field as both a consultant and founder of the website Propurchaser.com.