The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-03-20
STEEL BUYING Is
STILL RESTRAINED
Few Commitments Likely to
Be Made Until Prices Shall
Be Stabilized.
PURCHASING DECREASES
Tendency Toward Reductions
Is Shown by Deep Cuts in
Finished Product

Buying OF iron and steel and their |
products continues to be very restrained |
and It is indicated that until the price !
REIMBURSEMENT which forms the basis OF
the Redfeld stabilizing plan is salts |
factorily worked out and something den- !
mite in the line of building and construc-
ton costs arrived at the situation Will
not change. The purchasing which has
been going on at a small rate continues
on an even smaller basis because buyers
feel that, with possible cut In prices
pending. they are serving their purposes
best by awaiting the outcome OF the
steel conference.
while an expectant market awaits
the outcome of the price conference at
Washington" says the Iron Trade Re-
yietp, Iron and steel buying continues
along exceedingly restrained lines Buy
ers with few exceptions throughout the
past week havo maintained their policy
OF declining TO make purchases unless
they received guarantees that they would
get the beneft OF any price reductions
that occur as a result of the Washing
ton conference or unless they were al
lowed satisfying concessions In numer-
Gus cases such inducements have been
Forthcoming. The sharpest Illustration
OF discounting on the part OF producers
OF deep cuts in finished steel prices has
been reflected In the Chicago district.
Certain makers there have restored
Chicago base price OF 40 cents on steel
bars. This represents a concession OF
the Pittsburg freight or $40 ton.
where Reductions Have Been Made
ION structural shapes tho price has
| been 80 below the Pittsburg freight dif-
| ferential, a total reduction Of $40 per
| ton. In plates the shading has been only
| SO a ton. Forging billet quotations $17
| lower have been encountered. better
! and more clearly defined outlook for new
tonnage to follow the lowering OF prices
! is appearing II Is believed that II salts
/ flying prices will be put out large orders
for rails, cars and locomotives may be
expected. In various districts new
structural steel demands have been COM
| ing out more freely.
Actual export business continues to
! expand, but ship space still remains
regulating factor. South America buyers
closed during the week for $4,000 tons
clude 10000 tons OF tin plate to Brazil
and $500 boxes OF tin plate and 500
tons OF bars to Japan.
| The Iron Age IN its weekly review Of
the steel situation also declares that the
business is waiting on the Washington
conference. Whatever price changes
result from the meeting now on at Wash
ington." that journal says, 'the weeks
market. scant as business has been, has
further emphasized the downward ten
dency Reports have been widespread
OF sales Of basic iron at s25 at furnace,
representing a reduction OF s. a ton.
One OF these, assigned to the Chicago
district. has been denied by the reputed
sellers. The amount involved was 5000
tons n'Ohio sale OF 10000 tons seems
better established-and one in the East
also at s25.
Other Recent Concessions.
sssufing a similar decline in
semi finished steel is a sale OF slabs "a
an Eastern mill at $40 while in heavy
sheets there have been concessions Of
IS a ton from the prices prevailing early
in the year. Ferromanganese, spiegel
esen and fcrrosilicon have all yielded
the first two being still conspicuouslS
overproduced.
THE weeks delay has added 70 tht
problems of the steel manufacturers
committee Merchant pig iron makers
at their separate meeting last week, for
mally declared against reducing theil
, prices unless the way could be opened b!
reductions in raw material and labol
costs The class steel works
those which must buy pig iron at thu
market price-strongly protested tina
reductions in their products, without {
= cut in pig iron, would close down thei
, plants
Among leading producers OF stee
there has been no change in the feeling
| that n
not produce the desired revival In buy
ing. Reductions in copper, more drastl
than have been proposed in steel, hav
not stimulated demand IL Is argued ant
the spelter market with the price belov
the cost of we'll equipped producers. ha
TO semblance Of life.
Meanwhile the Department OF Labo
at Washington has reinforced the post
E ton of the chief DIRECTORS TO reduction
! ! In steel by widespread propaganda urg
:. ing that high level prices are no TEN
porary thing, but permanent. Buyer
. are told that ia the absence of spectn
reasons for declines in the case OF par
ticular products 1T Is safe TO assum
. that prices a not going TO drop
. Another Washington development
!, the statement from the Industrial Boar
i that general expectation OF radtca
n cuts in prices can thwart the whole sta
4 blizing programme, that the main thin
d is not so much the extent of the reduI
: ton as convincing the public. that tn
new basis will be stable.
TT must be said that the week ha
not clarified the situation but rattle
added to its confusion. The fact tina
the Government has no buyiu
programme and Anus cannot give prI'
tical sanction to steel prices that ma
be fixed is a serious drawback"
le ASSETS REALIZATION LOSS.