Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Non-Tech : RECY Looking Good... A -- Ignore unavailable to you. Want to Upgrade?

To: James Strauss who wrote (3710)	1/7/1998 11:47:00 AM
From: Sandra	Read Replies (2) \| Respond to of 7006

Jim, Just heard the end of it......about China buying its steel from Asia, and this poses no threat in the imediate future for steel here. The guy was very "up" on the sector. What else did I miss? Thanks Jim Sandra

To: James Strauss who wrote (3710)	1/8/1998 7:58:00 AM
From: Brewmeister	Read Replies (1) \| Respond to of 7006

<<CNBC will do a piece today in the 11:00 to 12:00 hour on steel production increasing 20% this year... Since the industry needs scrap metal to produce it, RECY should benefit...>> Jim, increased demand for scrap would result only if the steel production being replaced by the new capacity did not use scrap as its raw material. The Nucor release admitted that their addition would cause overcapacity in the industry. Most likely, NUCOR figures their new production will be more efficient and will replace older, less efficient capacity. Now, do these older and potentially replaced plants use scrap or true raw materials - iron, coke, etc. to make their steel. If all scrap, no net change in scrap demand. If not (or if a mix), then this should be great for the scrap business in creating demand. However, prices may be controlled somewhat by other competing materials such as pig iorn. The end result may be steady to slightly increased prices for scrap, with no let up in demand. Not a bad business enviornment. Anyone out there have an idea on this? Regards, Dan