Those were the glory days.
1: Demand up due to a war in the middle east.
2: Rapid currency inflation overheating the global economy.
3: China buying like crazy in order to have feedstock for it's rapidly expanding manufacturing economy. China's economic growth rate was phenomenal.
4: Energy prices up ... thus driving demand for recycled steel.
The picture these days:
1: No widespread active war.
2: Production (and demand ) significantly off due to the global pandemic.
3: China throwing up significant trade barriers like National Sword, and most recently tariffs.
4: Energy prices down due to lack of demand caused by the pandemic. A glut of crude oil and refined products on the market. Oil (briefly) trading at -44.00$ /bbl. last spring.
We are experiencing currency inflation, but that will take awhile to manifest as a weaker dollar and higher consumer prices.
Scrap steel probably won't skyrocket anytime soon. If anything, it may well tank after the election. It's expected that some kind of economic upheaval like a recession -or- depression will hit next winter. All of the deficit spending to artificially stimulate the economy during the pandemic doesn't represent true growth. It won't hold. There's gotta be a significant slowdown as free market forces eventually start to re-assert themselves.
Likely a similar pattern to when the great recession hit over the winter of 07-08.
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