Home | Business News | Browse by Publication | M | Metal Center News

MEPS sees downward pressure on prices.

Article Excerpt
Prices for steel products across the globe this fall were driven by demand, inventory levels at distributors and manufacturers, imports and, of course, raw material availability and costs. The first quarter is expected to be relatively strong for steel sales, except in the construction market, where cold weather slows work down.

U.S. distributors reported being overstocked with flat-roll products in autumn and all speculative purchasing has ceased, according to MEPS International Ltd., a steel consultancy based in Sheffield, England.

October's strip mill product prices turned out to be lower than predicted due to a combination of weaker demand in the market, marginally lower scrap surcharges and increased threat from imports. Auto demand was winding down through year's end.

Better availability of material from offshore sources and Mexico will affect selling values for the next few months, says MEPS Managing Director Peter M. Fish. He forecasts further decreases in U.S. strip mill prices to the end of the year and beyond,...

View this article FREE - Now for a Limited Time, try Goliath Business News
Free for 3 Days!