Evening star., 1933-05-28
STEEL OPERATIONS
|. STILL ON INCREASE
Prices and Output Are Con-
tinuing in Steady Up
ward Trend.
By the Associated Press.


NEW YORK, May 27.-Renewed
confidence in the persistence Of recent
improvement in the iron and steel mar
ket characterizes the attitude of both
as was caused by the recent pause
in steel demand or by the reaction in
scrap has been dispelled by increased
buoyancy in the automobile industry. a
new squirt in tin plate business. a
steady broadening of miscellaneous steel
buying and further price advances on
both finished steel and pig iron, says
Iron Age.
Buyers are offering less and less
resistance to prices, evidently being
impressed both by the earnestness of
sellers and the possibility of subsequent
stabilization at still higher levels under
Government auspices.
Increase in Production.
"Steel production, under the stimulus
Of reaccelerated bookings. has again
increased in most districts. Ingot out
put has risen from % to Is per cent
at Pittsburgh, from 33 to 81 per cent
at Chicago, from Al to A per cent at
Cleveland, from 38 to 42 per cent at
Birmingham and from IS to 80 per
cent in the Wheeling district. The
national average has advanced from
35 per cent~a week ago to 38 per cent
OF capacity, the highest rate since
June. 1881.
The widely held expectation of the
industry that it would soon lose some
Of the support received from the motor
car makers as Summer approached is
not being fulfilled. Retail demand for
ny to t,,iV
losing momentum and total sales for
May will surpass those of April by a
wide margin. Motor car builders have
accordingly revised their production
schedules upward and it now seems
likely that May assemblies will exceed
1000 units. Steel releases by leading
automobile makers indicate that little
change In operating rates is contem-
plated for June. At least mild re-
cession in activities is still regarded
as possibility for July, although this
opinion is subject to modification ac-
cording to the course of retail sales
Tin plate demand has been sWelled
by sharply increased specifications from
the pineapple canning industry in Ha-
waii. The pineapple pack is now ex-
pected to be fully one-third larger than
last year, possibly amounting to 8,00O.-
900 cases. Tin plate output has risen
above 80 per cent of capacity.
Fabricated structural steel lettings,
at 1880 tons, are the heaviest since
early In April. with the exception of the
first week Of May when awards were
made for the San Francisco Oakland
Bridge Plate fabricators continue to
book siZable tonnages for brewing tanks,
the outstanding award of the week be-
ing 1000 tons for the Schlitz brewery
in Milwaukee.
Reinforcing bar demand from dis
tributors has been stimulated by 81
a ton advance in mill prices, and stand
ard pipe specifications from jobbers
have improved The Nickel Plate plans
to scrap 5000 cars. joining the ranks
of other roads that have undertaken
the demolition of old rolling stock. No
new equipment purchases of conse-
quenCe are expected, however, until the
Governments plan for railroad co-or-
dination Is perfected.
Third Quarter Prices
1.-THE feature of price developments
is the announcement Of third quarter
products, which are So a ton over re-
cent asking prices. Hot-rolled strip
has been marked up 81 ton to 1.60,
Pittsburgh. and cold-rolled strip So
ton to &c, Pittsburgh or Cleveland. Wire
mesh has been advanced S4 a ton.
Scrap has weakened at Detroit and
Pittsburgh but has advanced at Bir-
mingham and ST. Louis The Iron Age
composite price for heavy melting steel
has declined from 1888. a week ago,
to 1886 a gross ton. The Iron Age
composite for finished steel has ad-
vauced from l867c to 1890 a pound,
yStrv - -
from $l4.4l to $1456 . gross ton." II