Steel Bulletin News March 2013
March 7, 2013
In our last bulletin we said opinion was split as to whether prices in February and March would move upwards. The doubters were right and despite the £ weakening against the Euro and dollar, the lack lustre demand in Europe has kept prices virtually the same. There are many factors that make up a price movement, iron ore, coal, energy, labour, exchange rates all contribute but the demand element is the biggest influence as shown by recent events. Our scrap price has increased by £10/t in March, the £ is still weak against the Euro and dollar and there is still upward pressures on international prices but we do not expect any increases during March or April unless demand picks up. I believe that in the steel industry one swallow will make it to the summer, so an increase in international demand will result in price increases. For up to date information please simply give us a call.
The supply side is in balance although stock levels are generally low.
We have had a decent start to 2013 and continue to invest in the future as we have spent in the region of £500,000 on a new fleet of wagons, which will be delivered over the coming months. We have also invested in some goal posts and, if we can sort out the mole hills, we hope to challenge some of you to a game of 7-a-side football later in the year. If you are interested in a game please give Neil Latcham a ring. Overall we remain positive about the future and believe, despite the doom and gloom, 2013 will be a good year!