The New York herald., 1921-10-30
RAILS CUT TO GET
CONTRACTSIN 1924
Reductions Made to Speed Up
Lines to Specify and Not
Hold TOnnages.
PIPE DEMAND INCREASES
Sharp Revival of Activity Is
Looked For in Late Winter
or Early Spring.

specfo, Despatch TO THE NEW YoRK Hn,ALD.
PITTSBURGH. Oct. 29-Under the lead
of the United States Steel Corporation
rail prices have been reduced from $45
gross ton for bessemer and SAT for
open hearth rails to a single price of
$40. Bessemer rails were advanced to
s2S in February. 1901. and in 1906. when
open hearth rails became prominent,
they were set at sSO No change oc-
semer rails are OF minor Importance and
the new price of $40, compared with the
prewar price Of $780, shows an advance
of q third, which Is small, considering
higher wages. freight rates, taxes and
other elements of cost. The reduction is
70 encourage railroads to specify on
1921 contracts instead OF carrying ton
nages until next year.
Demand for tubular goods, especially
in standard pipe and oil country goods.
increased more rapidly in the last week.
while demand for other finished steel
products showed little If any improve
ment- All gains previously made are
being held, except that the curious Sep
tember bulge in tin plate demand is
playing out.
Opinion Is divided as to whether there
will be any further Improvement of de-
mand In the next few weeks but in no
quarter is there expectation of any i'm
portant decrease in demand. A dull De-
ccmber is generally expected and a
sharp revival in steel demand Is ex-
pected for late winter or early spring.
steel production ia at a trifle more than
86 per cent. Of capacity, in contrast to
trif1e less than 20 per cent. at the
middle of July. Production may cross
the so per cent. line in the second or
third month Of 1922. Steel prices show
no material change, There is more or
less backing ana filling without affect
Ing the general average.
The pig iron market has continued
decidedly dull and prices are not
strengthening. Throughout the trade
the prospects are considered to be some
what better In point of consumption. but
whether prices will stiffen IL very doubt
ful. Many merchant furnacemen are
evidently anxious to get into blast
again, even II there Is no immediate
market for all their output, and the
competition may hold pr4ces down even
though It is contended in most quarters
that prices are less than production
cost. The market remains quotable a.
follows: Bessemer. $40 basic. $1s.25 to
$50, and foundry. sal.
Furnace Coke ContFacts Light.
The sensitiveness OF tho coke marke,
70 slight changes In the relation between
IuStrated by the hurry In the last two
or three days Of last week. Early In
the week the. ofrerings OF spot furnace
coke seemed arpply vEufnc1ent to SC
around, but laAo In the week few buy
ing orders sent the market UP 16 cents
a ton IN a nash. Several lots brought
eS.l0 and even $3.50 was paid In SOME
instances. Then the demand subsided
and the market got back to Q sass
minimum.
Contracting IN furnaoe coke b very
light but the market IL slightly stifeer.
Demand for spot foundry coke continues
to broaden slowly and the market Is
now Quotable as follows: Spot furnace.
$8.26 to $3.50; contract furnace, $3.50
to $3.50 and spot foundry. @4.a6 to
Tin plato specifications continue to
eetne out In ordinary tonnages--one or
several carloads at . time. depending OH
tho s1sa Of the operation. Mill opera
tions continue at . high rate for this
time o3 TIE year although In ono or two
oGpKsesport TN Plate Company which
haa besn operating its plant Of forty
four tin niliA has placed several Of
them on the inactive list The leading
interest IL operating at about IS Per
oent Of capacity drop Of 10 per cent,
eince last week. The quotable market
continues at IS to s5.25 base box.
R1tfsburgh, except that here and there
conoeasions ara offered to stimulate
husiuess. Tentative inquiries continue
70 b made for next years tin plato SUP
piles By large companies and everything
roints 10 9 big year for the tin plate
ara Offering keen competition. particu-
larry on the Pacific coast, which domes-
ito mills are not inclined to meet. as 1t
means that to be on . parity they would
have TO quote $4.05. Pittsburgh, much
tin plato 70 Be bought will not 60 abroad
because of reciprocity ARRANGEMENTS
ana moFp uniform plate. the minority
Of the orderU WIN 60 to American pro-
duSprA
CeaI Interests Buy Light Rails.
Faiiins or IN the demand for auto
mobile sheets Il made up for by in-
sheets. Black and galvanized sheets are
novinS TO Jobbers and large users IN
fairly sisable lots and some electrical
sheets are going to electrical CONF nies
for transformers, starters &C., but their
total Is comparatively light. The Amer
lean Sheet and ''r Plate Company, with
approximately SO per cent. of sheet mill
capacity active In contrast to about 90
per cent week ago, has not advanced
duotations to the levels of certain in
dependents. Black sheets. therefore, are
quoted at 1 to 4.25 cents, base Pitts
burgh. The rise did not apply to blue
ennea,ed sheets. which continue to be
quoted at $50 cents base, as the plate
base prioe of t.s0 cents and upward Is
used. That condition undoubtedly will
prevail until the plate millo are removed
az a factor In the blue anneaied sheet
market by becoming busier on strictly
plate business.
Fair sized lots OF light rails continue
TO be bought by coal mine owners and
operators and tobbers supplying smaller
operations have had to increase their
takings. larger mine companies sending
In repeat orders usually In sir gle car
load lots. Rerrllers are still cutting
down the price Of makers OF new rails,
Although the market price on the latter
~ 1.66 to LIS cents base Pittsburgh, the
rerollers quote 100 cents and even lower.
standard spikes are being bought In
limited quantities by various railroads,
and small spikes show an Improvement