Gibraltar Industries, Inc. (Nasdaq:ROCK), Harsco Corporation (NYSE:HSC) and Haynes International Inc. (Nasdaq:HAYN) all moved up with the broader commodity sector Thursday, as the reality the Federal Reserve was going to inflate again via its quantitative easing strategy pushed up the price of commodities in anticipation of the inevitable inflation to come.
Commodity prices surging included aluminum, gold, silver and oil. Gold prices soared record levels again, reaching toward the $1,400 an ounce level. Silver moved past the $26 mark, and is more than likely going to continue increasing for some time.
The steel industry may go through seasons of wide swings as currencies respond to the drop in value of the U.S. dollar, which will affect margins because of the wide moves in currency value and the fight by some against the Chinese renminbi, which they'll be forced to take defensive measures against.
Taking into account market factors, and the overall economic health of the steel industry in general, it probably won't partake in the surge in commodity prices and demand as other raw materials will surely do.
Gibraltar Industries, Inc. closed at $4.54 Thursday, rising $0.17, or 3.39 percent. Harsco Corporation (NYSE:HSC) surged to close at $24.03, gaining $1.59, or 7.09 percent. Haynes International Inc. was up to $15.73 at the end of the trading session, gaining $0.49, or 3.22 percent.
No comments:
Post a Comment