|Key Factors That Influence Steel Prices|
The directly key factor that influence to the steel price is the costs of materials and the demand of market due to the capitalism of Thailand
When products are lack of stock or monopolized by manufacturers, dealers will be able to change the prices freely. That means the prices will be higher. On the other hand, when products flood, price will decrease. The problem is that many products are under their specification.
There are other indirect factors to affect steel price as the follows;
1) Fuel prices and mineral prices such as coke; involve direct and indirect to aluminum, stainless and others, affect steel prices and stock of them. Higher costs mean higher prices (Deliver and Psychological perspective)
2) Economic climate affects the direction of steel prices; its price is high if economic liquidity is high. Moreover, bank tend to approve credit easily on accommodation when economic situation flow highly, as a result; some products will be out of stock and the prices tend to increase (almost 100 % guarantee)