New Britain herald., 1916-08-10
ADVANCE IN BARS
 HURTING BUSINESS
Manufacturing Consumers Of Steel Facing Smaller Trade Demand
le Iron Age says today:

Following the statement by the
 leading producer one week ago that
 IL had raised the price of steel bars
 $2 a ton, or $2.6O, Pittsburgh, the same interest has announced similar adVaQceS in wire products and in contract plates and structural shapes These put wire nails at $2.6O, fence wire at 2.55, contract plates at Sc. and
 shapes at 2.6Oc.
 In a slow market-from the do- mestic standpoint-these advances have given little stimulus to buying. Sales of bars have been made at 25Oc Tn the week, pending business at that
 1gure being more readily closed. While independent producers in some cases are quoting the higher prices, they have not been generally es- tablished
 The tactical significance of the bar advance in view of the recent up- heaval over the reported and denied sales of agricultural bars at 2.25c.. has caused wide comment. Producers aver that the advance was made less to establish existing contracts at 2.5Oc. than to notify home consumers that foreign buying may leave less steel for home use in the first half of 1917 than has been reckoned.
 Manufacturing consumers of steel are facing smaller demand for their products, in view of high prices. Inn plement makers count on 25 per cent. falling off in their sales and possibly more. They contend that bars should be reduced rather than advanced.
 It is understood that recent con- tracts for bars for Europe provide that the full tonnage must be taken out, if not in bars, then in plates, shapes or other products. A non-can- cellation proviso has also been in serted in certain contracts with buy CTS at home.
 The greater part of the forgings and bars required for the large shell contracts recently placed with five panies-am bunting to nearly $1OO, ,OOO, ,OOO-has been bought, but Europe is still asking for steel for this years delivery, which few mills are able to take on. Two large Eastern interests are in the position of having to reserve capacity for gov ernment orders of which there is Q definite assurance as yet.
 Mills in Pittsburgh, Chicago and
 
 losses in output from the excessive heat of the past week. The falling Diff in production of one Chicago inter- est has been as high as 1000 tons a lay. In spite of the curtailment of shipments on this account in July, a reduction in Steel Corporation orders n the month has been indicated.
 Railroad buying has been in a rut or weeks and promised car inquiries Ire withheld. For the Havana rail way a 5,OOO-tOn rail order has been ! aken at Chicago and 10000 tons l nore for Cuba is wanted. A consid- ,rable British rail injury is also re- ported.
 The structural outlook is not prom sing, and after six weeks of light bus ness fabricating companies are re- elling some of their steel. There are 'eports both of work going ahead be- ,ause the realization of lower steel 1 prices may be a good while delayed l nd of prospects, laid aside because the reductions have not come
 A sale of 5000 tons of plates at Chi ago has resulted from a recent veS- el order to a Pacific coast yard. At ship plate capacity has cen sold into the third quarter of next ear.
 In the central west the market for emi-finished steel has stiffenod but }essemer steel is still to be had at $2 o S3 ton less than Open-hearth. An xport sale of 5000 tons of Bessemer heet bars has been made at $43, ittsburgh.
 The weakness in the pig-iron mark f is unrelieved, though more inquiry as appeared in the central west. At 'hicago Northern pig-irOn producers re 1ndercut by Southern iron, which as sold as low as $13.50 at furnace ,r a 225 silicon grade. The Mill raukee machinists' strike has cut own foundry operations and with the low improvement in labor conditions t Chicago foundry pig-irOn produc- on is for the time in excess of con- lmption.
 At Pittsburgh sales of 10000 tons f basic iron have been made at the inform price of SIS at Valley fur ace. Some quiet buying by steel l ,mpanies is rumOred-all accom- ] lished without lifting the market : rice. {