Steel price is HIGH

[fivestring]

<font color="blue">"Think up some patriotic sounding name for the program and everyone is happy. For awhile..." </font>

S C R A P

Securing China's Role in American Politics

 

[rdbrumfield]

all that work to build a fence, hold onto that steel and double your money as scrap in 6 mo.
You did great on the price, here just the 21/2 tube would have cost that much.

 

[fishman]

Fivestring, how long did it take you to come up with THAT! Too funny! /forums/images/graemlins/laugh.gif

 

[PineRidge]

I had an interesting conversation today with (neighbor X) that is a purchasing agent for a major player that supplies Heating, Ventilating, and Air Conditioning products to retail dealers. They have warehouses in many states nationwide. He went on to say that China is purchasing new as well as all scrap steel that they can get their hands on in massive quantities for construction needs for their own Country. He also went on to tell me that it has quickly driven the prices paid here for steel related products through the roof. As an example common sheet-metal sizes 36" X 96" X 26 gage is normally purchased by his company for $6.00 per sheet. The price over the past 6 months has jumped to $13.00 a sheet for the same sheet steel. Plus his company reserve is now down to a mere 30 day supply which is the lowest reserve that they have ever seen and he sees no immediate relief in sight. The current steel prices are so volatile that he now prices sheet steel to his customers on a day to day basis.

His research has indicated to him that China is ongoing major growth and has construction already planned for the next 4 years. He sees the trickle down affect touching all steel related products from tractors right on down to bread toasters. /forums/images/graemlins/mad.gif

 

[SPIKER]

Charlie: 4000 lbs of steel for $2000.00 thats about 50 cents a LB, and that is HIGH: steel price 2 years abo was in the 25cent/lb range, steel 2 months ago was 30cents a lb steel this month is like you saw 50 cents a lb

anyhow all the steel stuff I need is going to cost me a fortune now, when I can't afford it cause we arn't working enough to stay busy.

Mark M /forums/images/graemlins/confused.gif

 

[TBAR]

As I stated above I am seeing the same thing. I just wonder how a nation of a billion or so starving people can suddenly commit to buying so much steel?

Almost like the Bass Brothers trying to corner the silver market years ago only on a much larger scale.


TBAR

 

[MikePA]

<font color="blue">I just wonder how a nation of a billion or so starving people can suddenly commit to buying so much steel?</font>
The current population of China is 1.25 billion. All of them are not starving.

<font color="blue"> Almost like the Bass Brothers trying to corner the silver market years ago</font>
Do you mean the Hunt Brothers? /forums/images/graemlins/confused.gif Are you implying that China is buying up steel worldwide simply to drive the price up?

 

[have_blue]

</font><font color="blue" class="small">( [Are you implying that China is buying up steel worldwide simply to drive the price up? )</font>

China has over 1 billion people. If we woke up one day and they used half as much steel per-capita as US sitizens, the world's supply of steel would be totally consumed for months.

 

[MikePA]

<font color="blue"> China has over 1 billion people. </font>
As I mentioned before, 1.25 billion.

<font color="blue"> If we woke up one day and they used half as much steel per-capita as US sitizens, the world's supply of steel would be totally consumed for months. </font>
Great news for people selling steel. Bad news for people buying steel.

TBAR's reference to the Hunt Brothers implied (at least to me, which is why I asked for a clarification) that China is buying up steel, not because they need it, but because they only want to drive up the price.

 

[Jim_in_Omaha]

Seems like there was some kind of tarriff for a while on import steel. I wonder if this is the wave effect from that?

Just glad I don't need to buy a bunch of steel right now.
Jim