Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1921-03-19
STEEL TRADE SEES
END OF DEPRESSION
Indications Are for Better Buy
ing in Second Quarter
of Year

New York, March 19.-For the first
time in more than six months some Of
the best authorities in the steel trade
believe that the evidence points to n
turn for the better. While, Of course,
the improvement thus far has been
small, these authorities state that the
indications point TO a considerable i'm
provement in both the domestic and
foreign buying in the second quarter Of
the year.
What must be given serious consid-
GRAFTON is the fact that the authorities
referred to we're the first to see the let
ting up as early as last August, and
while their views were questioned in
many quarters, it has been since dem
onstratcd that their predictions on the
future were decidedly accurate. Now,
these same authorities state that there
are signs Of improvement, and II is be-
lieved they are again absolutely cor
rect.
The authorities for these views are
among the best and most important in
the steel trade. They have been iden-
titled with the industry in various capa-
cities for many years and have always
made tho closest possible study of the
situation. They now believe that the
end of the depression is in sight, and
beginning with the next few weeks the
buying should turn upward to notice
able extent.
Already there has been improvement
in seasonable products, such as tin
plate, wire goods and pipe and tubular
materials. The demand for these
articles is better than 1t has been in
months, and it is stated that prices arc
showing somewhat tirmer tendency
among the independent makers, al
though the latter are still quoting below
the levels asked by the Steel Corpora :
tion.
The pig iron market does not show
any Improvement. according to leaders
in this branch. Operations generally
are unchanged on the basis Of two tc
| four days per week. Quotations are
admitted to be below costs, but the
makers are taking orders just the same
| This is due to the fact that they have
untitled contracts at higher figures ant
as long as the average price on outgoing
shipments exceed costs the merchant
furnaces are willing to accept new busi'
ness.
| However. in some quarters it is main
tained that when the high priced con
tracts have been filled and the prices
on shipments show an average above tn
cost of making iron the merchant fur
naces will shut down. If this is cor
rect it is stated that these plants vii
operate only three or four weeks unles
there is a change for the better in tn
situation in the meantime.
A sale Of steel plates was made durin,'
the last week at 1872 cents per pound
Pittsburgh base. This is the loves
price thus far known on an actua
transaction. and compares with pre-
vious low point of 2 cents per pound
The tonnage was rather substantial II
view of the present small volume o
business. Most independent makers
however, are asking 2 to 2.1O cents pc
pound for plates.
Steel bars are obtainable at . cent
per pound in small quantities, but NOR
than one independent has declined busi
ness at that figure and is holding fo
slightly higher level. Iron bars ar
lower and can be had at 2.10 cents pc
pound, Pittsburgh, as compared wit
2.35 cents. the minimum of only n fey
weeks ago. This drop Is due to the fac
that makers were compelled to put thei
prices down in order to compete wit
the low levels asked for steel bars.
There is some improvement in tn
demand for steel wire products an
wire nails, and independent makers
are asking 3 cents to $40 cents pc
pound, Pittsburgh. This is the seaso
Of the year when the spring demand fo
wire and nails makes itself felt, and al
though the volume of new business
far below year ago, the increase
demand is gratifying.
Structural steel shapes are bein
quoted at 2.10 cents per pound, Pitts
burg base, by the independents. Thel
are signs Of some improvement in struC
. tural buying, and this is believed to
due to an increase in building activi
ties which is expected during the sprn.
The exemption from taxes of new build
ings in this city to relieve the housir
situation has caused plans to be draw
for a number Of new structures whiC
? should result in some business in struC
turals. Re enforcing concrete bars ais
: are showing q firmer tendency under
better demand for the same reasol
quotations being 2 to 2.10 cents p'
pound, Pittsburgh.
There is no change in the scrap maj
ket. The reduction in steel mill or
7 erations has caused further declir
! in the demand, with the result thu
scrap dealers are finding it difficult
, work off thee material on their hand
, Where the sellers are anxious to get
2 order lower range prevails, but mo
dealers are showing signs OF, holdir
for better prices.
Ferro manganese is still obtainab
from first hands at 500 per ton, deliver
= ed, and resales have been made as 10
= as $SS per ton. There is practically l
e demand, and no signs are visible of
r change in the near future in this branc