Newsletter 49 - January 2010

"Keeping you Informed"

Prices

(1st Jan 06 = 100 units)

                        From 1st Feb (1st Jan) Last 12 months

                                     2010  (2009)    High           Low

Merchant Bar                 130  (125)      134 (03/09) 120 (07/09)

(Rounds, Flats, Angles etc)                      

Heavy sections              132  (127)     160 (03/09) 127 (01/10)

(Beams, Columns etc)                              

Hollow Sections             135  (130)     129 (03/09) 122 (06/09)  

(Box, Tubes etc)                                     

Prices

Prices have bounced back as can be seen from the table above. We expect all prices to continue to increase through the rest of February and March. Heavy sections are due to be increased by £50/t from 1st March (144) and although this is a large increase, we expect most, if not all, to be passed on into the market.

Supply

In balance but low stock levels will create temporary shortages and keep prices up.

Demand
Current levels should be maintained, if not improved, over the next couple of months and we expect price increases to galvanise some buyers into action.

Credit

Still very tight and cause for concern.

Tomrods

We welcome Andrew Shakespeare, our new Financial Director and he will soon be appearing on the "rogues gallery". Steady demand and an improving selling price is good for business, long may it continue.

Thank you for reading this and if you have any comments about Tomrods Ltd or our website please email the undersigned at johnt@tomrods.co.uk

John Thompson
Managing Director -