Saturday, June 1, 2013

Scrap Steel: Bullish On Demand, Bearish On Price

Demand for scrap iron remains strong. But with excess inventories of new steel why make more? The word on the street is demand for scrap steel with remain strong due to scrap shortages, but prices will remain "mysteriously" low.

Why does price matter? What difference does it make it you buy scrap iron for $250 MT and sell it for $270 MT or buy it at $470 MT and sell it for $490 MT?

Why spend more for the same margin???

Marc R. Azous
Recycling Consultant, LLC.
www.RecyclingConsultant.com

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