Growth of the steel markets in Developed Nationsco

This is a valid question given the current economics.  We have seen massive down turns in all kinds of construction over the last year and massive lay offs that go along with this.  Inventories are well down and many mills and ware houses are holding their breath.  

It is my considered opinion that we have seen the bottom and we are beginning to see numbers showing a  reversal of the negative trends.  Housing starts are up, construction bids are up, of course the money being poured into infrastructure revitalization is helping and so are the other govt. programs like the klunkers program which boosted auto sales.  Based on these activities, the mills should start seeing replenishment orders from the warehouse system and a growth in demand over the next 2 quarters.  If Oil can stay near $75 bbl, then we will see an up serge in pipe, fabrications and other equipment demands. This will also boost employment in the Gulf Coast which needs it desperately.  I also believe that continued reconstruction after Ike and Rita in the Gulf Coastal areas will be on the rise and  this will also push the demands up.  As for other parts of the world, As the US comes back so will the others, It may take a bit more time for them but the US is the engine that pushes all else (much  to the chagrin of the Chinese).

This author consults with leading institutions through GLG