General Steel Holdings (NYSE:GSI), Gerdau S.A. (NYSE:GGB) and Companhia Siderurgica Nacional (NYSE:SID) all moved up with the broader commodity sector Thursday, as the announcement that 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 going up included aluminum, gold, silver and oil . Gold prices soared record levels again, reaching toward the $1,400 an ounce level. Silver exploded past the $26 level, and is ready to continue moving up.
The steel industry could go through a seasons of swings as currencies respond to the fall in value of the U.S. dollar, which will affect margins because of the wide swings in currency value and the battle by some against the Chinese renminbi, which they'll have to take defensive measures against.
Because of market factors, and the overall economic health of the steel industry, it probably won't partake in the surge in commodity prices and demand as other raw materials will surelydo.
General Steel Holdings closed at $39.40 Thursday, rising $0.86, or 2.23 percent. Gerdau S.A. surged to close at $13.55, gaining $0.29, or 2.19 percent. Companhia Siderurgica Nacional was up to $14.59 at the end of the trading session, gaining $0.54, or 3.84 percent.
Showing posts with label Gerdau SA. Show all posts
Showing posts with label Gerdau SA. Show all posts
Friday, November 5, 2010
Tuesday, August 24, 2010
Gerdau Ameristeel (NYSE:GNA) Shareholders Pass Gerdau S.A. (NYSE:GGB) Acquisition Resolution
Shareholders of Gerdau Ameristeel (NYSE:GNA) approved the acquisition of the remaining shares of Gerdau S.A. (NYSE:GGB) they don't already own.
Under the Canada Business Corporations Act, shareholders passes a special resolution which approved of the acquisition of common shares not already owned, directly or indirectly, by it for $11.00 in cash for each common share.
Close to 93 percent of shareholders voted to approve of the deal who held common shares, and 74 percent of minority shareholders gave their approval. A minority shareholder is defined as a party outside of Gerdau S.A. or those related to them.
The deal is expected to close in August 2010, subject to normal regulatory and court approval.
Under the Canada Business Corporations Act, shareholders passes a special resolution which approved of the acquisition of common shares not already owned, directly or indirectly, by it for $11.00 in cash for each common share.
Close to 93 percent of shareholders voted to approve of the deal who held common shares, and 74 percent of minority shareholders gave their approval. A minority shareholder is defined as a party outside of Gerdau S.A. or those related to them.
The deal is expected to close in August 2010, subject to normal regulatory and court approval.
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