The sun., 1919-10-16
SAY LACK OF STEEL
TO FOLLOW STRIKE
Trade Reviews Predict Demand
to Exceed Supply, Tending
to Boost Prices.
MAY HOLD BACK BUSINESS
Pressure Will Be Necessary to
Check Material Advances
in Quotations.
MAY HOLD BACK BUSINESS

and steel products will be considered In
excess of supply. following resumption
of normal operations after the strike is
conclusively ended, pressure will be nee
essary to keep prices from advancing
materially, according to the weekly iron
market summary of the Iron Age. The
disturbing influence of price advances IS
recognized by that Journal. which points
out that such advances are ''oven likely
TO present a check to new enterprise"
with the steel strike slowly crum-
bling" the Iron Age says. Thought is
still concentrated mainly on the after eff
fects- How much concern interference
from Washington will give to producers
3 Is not clear, but there has been a fear
of clouding of the issue from this source.
Whether 1t will be possible to get back
into a good swing In a few weeks or a
long time will be required the fact re-
mains that demand will exceed supply
and pressure will be needed to keep
prices from rising. 1t Is recognized that
price advances are not merely disturb
ing in tho high cost of living agitation,
but even likely to present q check to
new enterprises.
Developments In the strike point out
more clearly the success Of concentrate
ing efforts on strategic plants, leaving
ticularly where such might be attended
with bloodshed. The leading plants Of
the Carnegie Steel Company In the Pitts
burg district are running close to 100
per cent of capacity. while other plant1.
shut down on the first day of the strike,
are in that condition with no immediate
prospect of activity.
Buying activity has largely centred
in pig iron. Part of this is of the emer-
hrin hfRhar
than that for 1920 deliveries. Largest
purchases have been in malleable iron,
which is relatively scarce. One lot of
10000 tons for delivery over nine months
has sold at prices 50 and 81 above re-
Gently ruling levels. Inquiries include
two 1000 ton lots Heavy export demand
for bzaic iron Is estimated at $4,000
tons, of which the bulk Is for Japan.
In sympathy with these advances a
number OF makers have marked up
foundry iron from 81 to 50 per ton. A
factor in the situation is the uncertainty
of future prices with the coal strike
impending Foundry coke as 1t is has
stiffened.
"Jobbers have generally been having
q normal business. though with some
stocks are low, but 1t is expected that
they will experience heavy demand as
mills become unable to meet consumer
requirements. What emergency business
has appeared has brought structural
shapes In some cases 50 per ton above
regular prices. and steel bars have sold
as high as 3 cents per pound.
Strikes have now befallen Lorraine
and prices on heavy rolled mate
rial there have been advanced $3.50
TO Sc per ton. Our cable reports heavy
tin plate export inquiries in Great Brit
ain and an advance in sheets"
The Iron Trade Rerfeto says: ".Strike
Interruptions virtually have ceased to be
regarded as a major factor in iron and
steel production in certain districts. Cen
orally more progress has been made In
the last week in restoring former activi-
ties OF the mills and furnaces than in
any similar period since the walkout of
the workmen. A good many plants have
reached or are approaching the stage of
operations in effect at the time of the
strike. This does not represent capacity
output, however. since shortage of labor
In various cases then was felt, and de-
velopments of the last few weeks have
not contributed to improve this under
lying situation.
with the steel strike well in hand
producers are giving serious oonsidera-
tion to the effect OF possible suspension
OF work in the coal fields on November
i. The largest sheet maker began the
week with rs per cent. Of capacity active
and some additional mills have resumed
since. Its tin plate operations are
around 60 per cent. Independent sheet
and tin plate plants are up to about rs
per cent of the rate of output prevailing
before the strike. The Carnegie Steel
Company has increased the number OF
blast furnaces in commission since the
outbreak of the strike from twenty to
Chtrty-hve.
Ship work Is calling for some round
tonnages of steel and the prospects of
the plate market correspondingly have
frightened New contracts tentatively
or actually closed with four or i've East
ern yards call for twenty-five to thirty
vessels, representing a requirement of
$4,000 to 100000 tons of steel. Pacific
coast yards are inquiring for 10000 tons
OF ship steel at Chicago.
With some of the merchant furnaces
steel banked and unable to ship, prompt
pig Iron is increasingly scarce and the
market has moved upward. The $26.75,
furnace. price for this year and first
half, which still was quoted by i'm
portant lake interests, disappeared this
week. In the East prices on foundry
iron now are $3.50 to 81 a ton higher
than the low point since the armistice.
An unusual order Tor bOU,OOO bolts has
been placed by an Eastern shipyard
and several hundred thousand are In
volved in new inquiries.
Railroad buying, mostly for repairs,
continues to be a big factor In the
market The New York Central, the
Chesapeake and Ohio and other roads
have placed important orders for car
repairs and car repair parts Large
car inquiries have come from Belgium,
China and another foreign country. Jap
anese demand for American pig iron
Is reaching large proportions. Japanese
interests have inquiries out for 10000
tons OF basic and several thousand tons
OF foundry iron. England has an in
CURRY out for 10000 tons of low phos-
phorus. Belrium for 5000 tons of this
grade and there are inquiries for ton
nages OF various grade from other coun-
tries Holland and Belgium have bought
10000 tons Of spiegeleisen from an
American producer.
Exporters are having TO pay high
prices for material for foreign buyers.
Premiums on wire OF IS ton and of
W to IS on sheets have been paid. For
eign wire sales have been extremely
heavy. Several export orders for struc-
turals have been reported. one sale for
South America being for 5000 tons.
South America IL inquiring for 5000
tons OF rails and a japanese inquiry for
1900 tons OF structurals has been re-
ceived. Japan is still buying ship
building material It Ii estimated that
already 100000 tons OF plates and
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