Wednesday, October 18, 2006

Newsprint Pricing Stable or possibly Declining

Producers of Newsprint (the paper used in newspapers) continue to witness pricing pressure. The pricing for 30 pound - standard newsprint continues to be flat even with the announced September announcement of $40 (initially announced for August). Buyers’ strong rejection (and depressed spot market pricing) have forced producers not to enjoy ANY increase – in fact, industry rumor outlines Newsprint now is actually transacting at $655/metric ton (from the market list price of $670). Consumption has fallen nearly 8%.

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