Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1919-06-14
HUGE ORDERS PLACED !
WITH STEEL MAKERS.
Automobile Companies Alone
Purchase 100000 Tons in
Last Two Weeks

New York, June 14.-The last week
mas been the best experienced in. the
steel industry since the signing of the
armlstice. last November. Following
closely on the heels of the order for
o4o,OOO tons of various steel products
from the General Motors Corporation,
the United States Steel Corporation re-
ceived contracts from other makers Of
automobiles for large tonnages.
As result of this buying wave. the,
sentiment among the best posted au- !
thorities. is better than it has been at
any time IN months. The predictions
made by Judge Gary, chairman Of the
United States Steel Corporation, at va =.
rious times since last November have
been borne out almost in detail cnd it Is
noted that, whereas some months ago
there were many in the trade who dis
agreed with his views, his optimistic
forecast is now being sharei by virtu-
ally every one in the industry.
Among the orders from Rotor COM
panies taken by the Steel Corporation
during the last week was one for from
loo, 900 to 100000 tons from the Ford
Motor Company. Other automobile man.
ufacturers also placed contracts and IL
is estimated that in all the Steel Cor
poration now has business on its books
for these interests involving more than
SOO,OOO tons, all of which have been
placed since the beginning of this month.
Other steel companies also accepted
contracts from the motor concerns, SO
that it is probably correct to say that
the total amount of business placed with
all the steel makers oy the automobile
companies during the fast two weeks
amounted to considerably in excess of
l,OOO,OOO tons and probably reached
the large total of 1 ,250,O tons. This
Is considered significant in the trade,
and is taken to mean that the motor
company officials feel that steel prices
are at a fair level.
Considerable surprise was shown, es-
pecially in Wall street, over the report
OF the untitled tonnage of the Steel Cor
poration made public last Monday and
recording decrease of more than 51S,-
600 tons in the bookings as of May 81,
last. This was due to the trade reports
which have disclosed continuous i'm
provement in the industry during the
entire month of May, and it was gen.
orally felt that the showing of contracts
OH hand would be quite different from
those of previous months. As a matter
OF fact, there were some who expected
an increase in the bookings.
1t can be stated on very high author
ity that the decrease was due almost
entirely to the removal from the books
of the corporation of contracts which
have, heretofore, been Cancelled by the
United States Governments These were
SO called war" orders, which the gov
ernment asked to have cancelled follow
ing the armistice last November and
since that time.
That the cancellations were heavier
than was generally realized is now
shown by the admission made by a high
authority that the removal was spread
over period of months. This would
account for the uniformity disclosed in
the reports Of untitled tonnage by the
corporation since the beginning Of the
year. However, it is now believed that
the last of these cancellations have been
wiped off the books, and the reports Of
future months will reflect the real sit
uation so far as the Steel Corporation
is concerned.
There has been some slight increase
in the operations of the steel plants Of
the country, especially SO far as the
leading interest is concerned. This was
caused by the better inquiries and larger
orders which have been coming to the
various companies for several weeks,
and it is considered likely that further
gains in production will be ma lie in the
coming months.
The scrap market is better, AlthopEa
business is still small. Prices have been
advanced about fifty cents per ton,
heavy melting steel scrap being quoted
at from $15.75 to $16.25 per ton. de-
livered. An offer by the Bethlehem
Steel Corporation for round tonnage
at $3.50 per ton failed to bring out any
sellers, and the Midvale Stee and Ord
lance Company has been In the market
for good sized block at $40 per ton,
delivered, but thus far has not obtained
n.