Final Thoughts
September 21, 2015
Final Thoughts
Written by John Packard
Demand (or the lack thereof) seems to be the real culprit affecting the steel market and prices at this moment. I spoke with one of the larger service centers this afternoon and asked: would imports be reduced enough to impact U.S. supply and trigger a price spike? I asked what were the chances that the market would turn in 2016 and steel all of a sudden get tight?
The response I got was, “15% chance. Soft demand and over supply domestically – not to mention the international market will keep pressure on the market. Small pockets of volatility can be expected.” They went on to say, “If oil doesn’t come back – what drives demand?”
