Steel prices - were we wrong?

Reports from China indicate that 2007 has started off with large price increases for hot rolled steel coil. Mineweb today reports that monthly spot prices for hot rolled coil have increased approx 7.3 percent. Continued strength of exports and low steel inventories, coupled with recovery in domestic steel consumption after a period of demand weakness late last year, account for this.

Our own economists predicted falling world steel prices during the initial months of 2007. Could we be wrong?

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