Steel Prices are heading up, and I believe that they will move pretty fast over the next couple of months, and will be back above last years pricing.  There are several reasons for this.  The first one is that the Steel Service Centers are carrying inventory at historic lows.  So any increase in demand over the next couple of months will drive prices up.  The Second reason, is that the Mills have been forced to idle a lot of capacity, so they will be slow to react to the demand which will cause pricing to rise as well.

In the next couple of days I will also give reason why this will be a long term trend.

This entry was posted on Monday, June 29th, 2009 at 7:56 am and is filed under Raw Materials. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.