Flat-rolled buyers pare stocks in ‘neutral’ mart
May 09, 2012 | 02:59 PM
| Corinna Petry
CHICAGO Flat-rolled steel service centers across the country are reining in their inventory levels as the market continues to level off, sources have told AMM.
Although most distributors said they continue to move material on a steady basis, the sense that prices are coming under pressure is encouraging many to keep their stock levels under control, market participants said.
"Our business is steady but we are reducing inventories," a buyer in the Midwest said. "With summer coming, prices are likely more down than up, and we dont need to make (volume) commitments in the short term."
According to the Institute for Supply Managements latest Steel Buyers Forum survey, 50 percent of April respondents planned to decrease their stock levels over the next six months, up from 38.5 percent who planned to do so in March. Meanwhile, 41.7 percent plan to maintain their current inventories in the next six months, while just 8.3 percent intend to increase their stock levels.....
To access AMM's full content, please log in below. If you do not have an AMM account, we invite you to take a free trial or subscribe below.
Already a registered amm.com user?
Access to amm.com editorial content is granted only to paid subscribers and trialists. If you do not have an active account in your own name, please either subscribe or take a trial and you will have instant access to amm.com content. Sharing your login credentials with individuals who are not subscribers represents a violation of AMM copyright.
Every morning, every minute no matter how often you follow the markets, there's an AMM subscription to fit your needs.
Not sure if you are ready to invest in a subscription right now? Take a free, no-obligation trial. Start your free trial today.