New Britain herald. [microfilm reel] (New Britain, Conn.) 1890-1976, 1916-11-25
No end in SIGHT
FOR RISING PRICE
Domestic Users Of Steel Will Pay
Big Rates
he Iron Age says yesterday!

Lake Superior iron ore for shipment
in 1917 which have been going on the
books of Cleveland ore firms for
weeks virtually became contracts on
Wednesday of this week on the an
nouncement that some sales had been
made at Pittsburgh at an advance of
$3.50 a ton over this years prices
This would put oldrange Bessemer
ores at S5.75 at lower Lake port, and
Mesaba Bessemer at $3.50. The new
non-Bessemer ore prices would thus
be SIS for old range and s4.S5 for
Mesaba.
For some time it has been urged
by ore interests that if vessel charters
went soc above the 1915 rate, the
ore advance should be more than ST..
In the past week the vessel rate has
been established at s1.1O, including
unloading charge, or 81 net which is
the expected soc increase With their
higher labor, fuel and supplies, the
ore companies figure an soc increase
in their cost and consider that an
added soc ton would be but a fair
share in the prosperity of pig iron and
steel interests, making the total $3.50
At the same time some sellers have
been disposed to hold for an advance
of $3.50, particularly on Bessemer
ores.
Bessemer ores have been rapidly
taken up for next year, in view Of
heavy foreign buying Of lower phOs-
phorus pig irons, and some producers
have little to offer. Estimates Of next
years ore movement run from 65,-
600, 900 to 100000 tons. Apart from
labor and fuel shortage, which will
prevent pig iron output from rising
far above the present rate, there is
the fact that Lake Superior stockpiles
contributed largely to this years ship
ments and that all next years output
must be newly mined
With q contract coke advance Of 50
ton and supplies, pig-iron producers
already see their cost at least SIS ton
higher, beginning with May, 1917, a
factor not to be overlooked in connec-
ton with the high level prices for pig
iron sold lately for the second half of
next year.
other week of heavy buying and Of
rapidly mounting prices, foundry irons
scoring the largest advances. Buyers
are moved, not by an existing scarcity,
and there is none Of the excited buy
ing for quick delivery that has
marked all other rapid upturns. Fear
of q scarcity next year is the i'm polling
influence. Transactions have been
large in both Northern and Southern
irons
Alabama furnaces have sold most of
their output for the first half and
this weeks transa ctions South as we'll
as North have been chiefly for the
second half. Some foundries are buy
ing for that delivery without having
their output under contract. Others
will not buy in advance of sales Of
castings.
There has been a wide spread in
prices in the weeks heavy trading.
Southern No. foundry sold at SO at
furnace early last week and today the
range is S21 to s23, nearby and first
half deliveries bringing the highest
prices For Virginia iron prices run
from s24 to s26. In eastern Pennsyl-
vania SIG and SGT are named on No.
9 foundry for second half delivery,
and Buffalo and Central Western fur
naces have advanced to $27, and as
high as $50 at furnace has been paid
for Buffalo iron.
In stee1-making irons the advance
has been less spectacular. In the st.
Louis district sales Of 500 tons of
Southern basic to three foundry inter-
ests were made at $40, Birmingham,
for delivery in the second half Basic
iron at Valley furnace has gone to
$3.50 and s26, and Bessemer iron to
$50. which is 81 advance in the week
The general advance of 10 per cent.
in wages by the Steel Corporation,
effective December Is, was not ex-
pected until the first of the year, but
it is in line with the drift at all iron
and steel operations throughout the
country. Some of the independent |
steel companies have already an
nounced a similar advance effective in
December.
No end is in sight to the advances |
in finished steel products. The
worlds demand for American steel is
assuming larger proportions and is
more insistent, and domestic con-
sumers are paying prices that will |
hold the steel at home. Just now the
British inquiry for $4,000 tons of i
rails for 1917, that of Russia for
33, 900 tons of rails and a total of 1OO.-
900 tons Of ship plates for foreign
yards are outstanding items in foreign
demand AS high as $50 a ton has
been asked for export rails, and on
some of the ship plates &C. was
quoted.
Norway has been trying to place
four vessels at Pacific coast yards
Lake shipyards are inquiring for
10000 tons Of vessel plates and have
been asked Assoc. for hull plates and
1O.40c for marine steel.