The New York herald., 1922-01-29
STEEL MARKET Is
NOT MAKING GAINS
Fails to Show Seasonal Broad
ening i'm Second Half of
This Month.
DEMAND HAS FALLEN OFF
Prices Not Declining Consider
ably. but Concessions Are
More Common.

Npccidl Dispatch 10 THE New YORK HERALD.
PITTSBURGH, Jan. 2s.-Instead of i'm
~ oving since the first of the year, the
steel market has been going the other
way. After the first week Of January
competition between mills became de-
eidedly Seener presumably on account
90 the volume OF demand not increasing
as it had been expected to do. and the
common opinion of this week Is that the
demand has decreased somewhat Ac-
c0rding to tradition, the steel market
should broaden in the second half of
January and its failure to do so is
ascribed in certain quarters to continued
talk that business in general cannot re-
Niye until freight rates shall be reduced,
and to expectations that there will be q
coal strike on April l.
AS to the predicted coal strike, its
Importance probably is exaggerated in
most quarters. Between so and 40 per
cont. of the bituminous coal producing
capacity Is operated open shop and the
total capacity is well in excess of the
highest demand ever seen and conse-
quently mining suspension by the
United Mine Workers presumably would
leave the country with moderate coal
supply.
Steel prices are not declining to any
extent, but concessions from regular
prices have been growing more and more
common and consequently in certain
lines only the smallest orders command
regular prices. The competition between
mills, although keen, does not involve
sashtng prices, the competition becom-
ing strenuous rather by it's affecting
smaller and smaller orders. Faced with
the possibility of lighter operation and.
therefore. higher unit cost, certain mills
are less disposed to quote extreme prices.
Steel ingot production is at the rate
OF about 18,000,000 gross tons a year in
contrast to rate of 20.000,00O tons in
December and 100000 tons in October
and November.
Pig iron in the Pittsburgh Valley
market has experienced fresh declines
IN rhe last week. Foundry iron dropped
of so cents a ton to s19. valley, on two
rurchases of 500 tons each by the
Standard Sanitary Manufacturing Com
papy. rhe new price is the lowest since
carly in October, 1916, the minimum
struck last summer having been $3.50.
Afterward there was an advance to $21.
The basic iron market has declined 25
cents to SIS, valley. that figure having
been quoted recently by several produc-
ers, the market for while having been
quoted at S1S.25. Bessemer iron is un
changed at $3.50. valley. at which q
few carloads have been sold in the last
week or two. Pig iron has been very
quiet since the first of the year and
there are no signs of The markets be-
coming more active soon.
Spot Foundry Coke Softer.
Standard furnace coke for spot ship
ments can be bought at $2.75, the loves,
csx he L.
into effect. Most furnace coke now In
the market is sort of byproduct. pro-
duced because coke plant cannot make
all its output foundry grade. A very
moderate demand from blast furnaces
would clean up all the visible supply and
market prices would advance promptly
The spot foundry coke market continues
10 grow softer and the $3.50 price, re-
Gently obtained for certain grades. has
disappeared. Although a little coke Is
selling at $4.25. the more common price
Is 81. Demand for foundry coke, on the
whole. is decidedly light and the coke
market. as a whole. is quotable as fol-
lows: Spot furnace. S2.75@3; contract
furnace. s3.15q3.25; spot foundry,
s3.7594.25.
Tin plate making continues to be the
best part of the iron and steel industry
and nothing has happened to change the
common opinion that this will be the
best year that the tin plate business
has ever known. Brand new business is
somewhat limited, as reported by certain
large producers in this district but sew
eral big producers report steady in
flux of orders in smaller tonnages. Ship
nents. however, continue unabated as
certain larger makers still have crowded
order books. with rolling schedules con-
81 frr int
as on specifications received from time
TO time on requirement coptracts.
The American Sheet and Tin Plate
Company continues to keep slightly less
than 90 per cent. of its tin mills en-
gaged and the McKeesport Tin Plate
Company added this week two more hot
mills. making twenty-five out of forty
four active. A large independent stee;
producer continues to operate tin mills
on the basis of 80 per cent. and the gen.
cral average operation of independents
is more than So per cent. Most present
demand continues to come from can
makers and the price of $4.75 q base box
Of 100 pounds Pittsburgh still repre-
sents the market.
What few merchant steel bar orders
are materializing are OF exceedingly un-
satisfactory character. As an illustra-
ton. q large producer has received an
order Of fifty tons made UP In thirty
sizes. Although reports of lower figures
are current In other sections. 1.50 cents
appears TO be the general market in this
territory. although II is INFESTED. In
refined iron the situation changes but
little from week to week.
sheet Industry Improves.
Through an accumulation of small or-
ders. producers of hoops and bands have
been able to maintain a somewhat inter-
inittent rate of operation in their mills
since the first of the year. Hoops are
auotable at 100 to cents base Pitts
hurgh. instead ~ n flat 3 cents. certain
makers Offering concessions of 81 ton.
Bands remain quotable at LIS to cents
There IS better feeling I'm the sheet
industry and reports OF new inquiries
are coming i'm. Prices are conceded 20
be firm at 2 cents for black sheets. 4
cents for galvanized and 2.25 cents for
blue annealed. In the fnc hnished trade
domand has been gaining ground right
along since the first Of the year. A
d. largo percentage OF the mills making
these sheets could not offer delivery or
now business under six weeks. providing
that they should work off their GUS
toners requirements In the orier