【 Steel price movements 】 Steel prices this week disadvantaged concussion run!

Last week by a trade war with China, financial market risk aversion to heat up, after return, market and the stock market tumbling across, serious drag on the market mentality. Arrived last Thursday, shagang price policy in late June strong rose 100 yuan/ton, plus the main phase of the screw contract once strong, market weakness reversed, superposition environmental policy continuous fermentation, short-term factors such as resources added slowly, businessmen mentality gradually improving. So, what will happen to the steel price movements this week? Inventory changes? With doubt, together into the current market analysis. Last week, the national market last week steel mill pricing, demand factors this week in Shanghai, zhejiang, east China, south China formally entered the rainy season, 19 - 20 most of east China, southwest and south China more big to heavy rain weather, at the same time, north China, north huanghuai regions such as the continuous high temperature. Sunny hot north, the south rainy, terminal construction is difficult to carry out outdoor, market procurement decline significantly. Monitoring data, as of June 22, major cities in China thread, hot and cold rolling and thick plate in the inventory are ZhiJiang rise, the market clinch a deal from weak, terminal purchasing performance is not positive, the market mentality more cautious, most merchants slightly depreciate sales promotion, prices fell to guard against risks. The high temperature and rainy seasonal demand weakened, in the short term domestic procurement requirements continue to slump. Second, the supply factors of the National Bureau of Statistics data, in May China's crude steel, pig iron and steel production 81. 33 million tons, 66. 89 million tons and 97. 07 million tons respectively, year-on-year growth of 8, respectively. 10 9%, rose 4% and growth. 8%. Average daily output of 261 respectively. 710000 tons, 215. 770000 tons and 313. 130000 tons, the daily average year-on-year growth in 2 respectively. 2, 4% growth. 1 6% and growth. 8%. In may, China's crude steel and cast iron daily record. In addition, the rebar production in China in May of 1774. 40000 tons, year-on-year growth of 3. 6%; 1 - May the cumulative production for 8146. 60000 tons, up 11% from a year earlier. May our wire ( Wire rod) Production for 1213. 10000 tons, year-on-year growth of 9. 3%. Overall, the current capacity utilization of blast furnace are high, steel mills in the short term supply capacity is difficult to reduce. Three this week domestic coke, cost factors, besides the northeast minority area such as the basic implementation of the eighth round of price increases, at this point, coke rose 650 yuan/ton. Mainstream domestic scrap prices steady, a small number of steel mills purchase price for a finished product material prices down. Mainstream domestic iron ore prices continue smoothly, minority region were mixed. Imported ore price swings down, the average gross area long rebar process production enterprise in jiangsu is close to 1200 yuan/ton ( In addition to the three funds and machine loss) , profitability is still high. Next week is expected to raw material cost price stability in the combined adjustment. In terms of comprehensive early last week, just after the dragon boat, sino-us trade friction to 'war', the financial market risk aversion to heat up, the a-share market, futures once panic, serious drag on the market confidence. Secondly east China, south China and other regions have entered the rainy season, high temperature and rainy adverse effects on the outdoor construction, terminal purchasing obvious decline in demand, social main inventories last week from fall to rise, put an end to all round for ten consecutive decline. Overall: seasonal purchase demand imbalances, overall weaker market confidence, and liquidity tight by the end of June, the domestic steel prices this week is expected to give priority to with disadvantaged concussion run.