Thus, the ECB raised interest rates to zero for the first time in decades.
Exactly a month ago, I wrote in my publication that you should not be surprised at the price of a hot-rolled coil of $580.
What pleases me now is that the fall in prices in most markets has stopped, we have optimism, although so far very modest.
As expected, the short-term stress for metallurgists ended and the market calmed down for a while.
We have not seen such a situation on the metal market for a long time. And, as always, there are reasons for this.
On Friday, the Fed summed up its approach to inflation, which has reached its strongest rise in 40 years, by vowing to make every effort to restore price stability.
I didn’t want to write anything, but I wanted to see what would happen next, but the situation is changing rapidly, and there are reasons for that.
We are on the verge of significant upheavals. This is already felt by everyone, from traders and scrap metal collectors to pipe manufacturers. Everyone remembers when interest rates were close to zero, when pent-up demand arose after COVID-19 was a thing of the past. The minimum price for August 2020 was $450 per 1 ton of hot-rolled coil in the USA, there were also discounts for some consumers.