Scrap metal

[Tysonboss1]

Is scrap metal just as good as gold as any inflation hedge.

I know alot of people see Gold as a safe haven to store wealth in during times of high inflation, With the idea that as our "Fiat" currency devalues the gold should at least hold it's real value.

My question is can scrap metal acheive the same out come, for example if I held 1/2 a ton of scrap copper, this should also hold it's value against inflation right.

 

[tech/a]

Tyson.

I sell a bit of scrap as well as buy lots of steel with a group from various mills world wide.
Unfortunately scrap prices fluctuate just as much as our commodity prices.
Go here and have a look at scrap prices.

http://www.steelonthenet.com/commodity_prices.html

notice the 50% reduction in offer for scrap in March 09.
That will give you an idea what Steel prices will be doing then as well as the raw material.