04.28.09
The Metals Market: Ready for a Takeoff?
Dateline: 28-April, 2009;
Metals market guru Tom Stundza reports in a recent Purchasing magazine feature that demand — especially for alloying and plating metals — could have a big rebound in the second half of 2009. “Almost every market researcher expects relatively strong recovery in consumption of nickel, zinc, and even tin because of projected infrastructure spending,” he says. The timing depends largely on demand from the U.S., the European Union, and Japan. But the fly in the ointment, as far as prices go, is the current market surplus of these metals — meaning stocks will have to decline before prices trend upward.
So, what do you think? Add a comment and tell us what you see for the next 2-3 Quarters!!!
Ralph G Mazza / President
Millenium Alloys LLC
“…A New Age in Metals and Alloys”
Bill P. said,
April 29, 2009 at 8:37 pm
Global primary and scrap supplies will largelty dictate metal pricing going forward. Production cuts will still be happening, and as production slows, so does the pipeline of metals for producers who are operating. Prices then go up, but only if the supply is thinning. Depending on the level of metal in the marketplace, the price will be up or down, and global trade level will be a part of it. If production resumes and masteralloy production goes up concurant, prices could stabalize in the second half or certainly continue to rise slightly.
W Browne said,
April 30, 2009 at 11:59 am
A number of metals have risen already, but interestingly we head into the summer months, with Europe & USA production to slow, historically. Seeing signs of scrap supply thinning, and less material into the stream this summer would equal higher pricing in 3rd and 4th Quarters for sure. Prime metals to follow same as usage will increase. Good day…