Reuters reported that UK based metals trading firm LN Metals has closed its steel trading desk and does not plan to reopen it anytime soon.

A source at the company said that "The steel desk was closed a few weeks ago not to be reopened."

Directors of the privately owned firm, a well known player in base metals, minor metals and ferroalloys markets, were not available for comment.

In the last few months, a steep fall in prices and spiraling costs of financing have badly affected a number of steel producing and trading companies, some of which have disappeared.

Some market experts say smaller players will continue to suffer in the next couple of years, likely leading to a further reduction of the number of companies active in this sector.

Source - Reuters

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