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Gold/Mining/Energy : The Molybdenum Discussion Board
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To: lazarre who wrote (2968)6/8/2007 12:34:59 PM
From: energyplay   of 3267
 
Demand for special metals tends to be inelastic - Are you not going to build a $300 million pipeline that will move $400 million in oil each year, because it now costs $310 million or $320 million ?

Moly and nickel are only a few percent of the cost, but absolutey necessasry.

Contrast with regular mild steel, where a higher price for cars, refigerators, etc. reduces consumer demand.
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