Bring prices fell sharply in the first half of 304 stainless steel so weak city under the steel price is more a lack of support Tianjin stainless steel co. , LTD

Bring prices fell sharply in the first half of 304 stainless steel so weak city under the steel price is more a lack of support; In the second half of the original fuel prices decline gradual to steel prices falling stabilizing constitute a certain support. Coke and influence in the first half of iron ore prices continued to fall as the double-edged sword of steel market, especially the more far-reaching import ore prices continued to decline. On the one hand, as a decline in the cost of production is conducive to the losses of the steel mills to reduce or increase profits, this also is in the first half of the section steel mill from loss to profit the most important factor; On the one hand, also add to the steel market price declines. For iron and steel enterprises, the production cost price falls faster to steel price drop speed in the steel sales prices also have profit space, it stimulated the steel mills to increase the enthusiasm of steel production; Also corresponding to the lack of an increase in the price of steel sales momentum. The original fuel prices for steel market continues to decline, increased market atmosphere of bearish market outlook, make steel price has lost a good psychological support factor. We think that the second half of the original fuel prices continue to fall phenomenon also can appear a certain change, decline, though still hard to avoid, but compared with the first half of the range of the prices will be significantly reduced. We think that continue to fall during the first half of the original fuel prices in the second half of the year will also enter the wobble, 304 stainless steel belt prices may continue to hit bottom, short time can also fell after the rebound, but difficult to reproduce the unilateral downtrend of long time; Center of gravity may be slightly higher price, also may be slightly down, but the fall will be much smaller than the first half. Since the beginning of this July, iron ore prices have actually made the original unilateral plunge into a tight trading range, and not continue downward market directly; Coking coal prices have appeared in the stabilization. The original fuel prices stop falling stabilizing or sideways trend will form certain support to steel prices, lack of continued downward important reference.


steel market hype the lack of funds and hype atmosphere, will also make the second half of the steel price is difficult to a sharp rise and fall. Under the condition of the stabilization of operation of macro economy, difficult financing area have obvious relaxation; And financing institutions also almost outcast for iron and steel industry, steel industry at present so tight on the financing side, the current situation of the lack of liquidity in the second half is also difficult to appear obvious change; Lack of market speculation, money to be able to make the second half of hong kong-listed hard up. Other foreign minister falling time of 304 stainless steel belt has hit the market confidence, and excess capacity, high output, supply exceeds demand such as iron and steel industry faces the deep-seated problems still is in a state of no solution is adding to the market pessimism about future movements of hong kong-listed; In fact in the first half of the steel market 'low inventory', 'low price' unreasonable phenomenon at the same time there is a real reaction of pessimistic attitude, and the serious negative mentality of steel price movements in the second half of the year will continue to play a role. The hong kong-listed parties even if it is generally believed that the second half of steel price increases, are also periodically for a short period of time, and the space that rise is not a lot; 'Low price' is quite a long time in the future hong kong-listed 'firm' mainstream prices, so also didn't make the consciousness of market speculation, the entire steel market has lost its hype atmosphere. Steel more than the seller adhere to the psychology of small profit or sale, the buyer will take 'use namely mining', long-term to maintain low inventory procurement strategy. Speculative money is missing, and lost the hype of the atmosphere of the steel sales in the market, its price has lost the rose or fell, the basis of the second half of the 304 stainless steel plated with will also have to maintain a tight trading range.