China Steel Market in Summer

Years later date, the decline in steel prices and off, add up close to a few months, the traditional peak season is not a surprise to the steel trading business, let alone immediately into the steel off-season, but also expect steel prices to have much pick up? According to the monitoring, as of the closing of the 19th, Beijing markets River steel two big spiral price of 3530 yuan / ton, unchanged from the previous day; Shanghai market Zhongtian two big spiral of 3490-3530 yuan / ton, compared with the previous was unchanged; Guangzhou market GISE, two big spiral 3630 yuan / ton, unchanged from the previous day. Shanghai market hot rolled closing price of 3530-3560 yuan / ton, unchanged from the previous day; the Tianjin market hot rolled closing price of 3460-3490 yuan / ton, compared with the previous day maintenance of stability; music hot rolled coil from the market closing price of 3610 - 3620 yuan / ton, compared with the previous day's low reduced.

Only a week last week, domestic steel prices fell 1.33% for the biggest weekly decline in two months, the steel futures continue to decline, a high level of crude steel production in the steel market supply and demand contradictions No mitigation background, steel trading business operation is still main dynasties library. According to statistics, the total inventory of steel community last week, down 3.3% to 19.064 million tons, threaded stock down 4.4% from 8.744 million tons, down 2.7% in the previous week; wire down 3.8% from 2.493 million tons, down 2.3% in the previous week; hot-rolled 4724000 ton, down 2.0%, by 0.002% in the previous week; cold-rolled down 0.9% from 1.631 million tons, down 0.1% in the previous week; plate down 3.0% from 1.473 million tons, down 1.3% in the previous week. At present, the intensified financial market volatility, market pessimistic attitude, brokers price to take the goods, it is estimated that the bottom of the market state can only continue.

However, recently about the steel part of the iron ore cargo to take back the market to sell the phenomenon is on the rise, which also increased the expected market indirectly cut steel, the steel industry back to the sale of iron ore, Leaving aside this group goods can not be sold in a timely manner, since the steel mills to sell out, it means that steel mills have decided not to the shipment into production, sold out, will increase the supply pressure of the iron ore market, resulting in mine further decline in price; sell, steel mills will they stagnation in the market, will not be used for production, so the speculation mills took the opportunity to have a willingness to cut is possible, but the amount of the cut would have little, it is difficult to say, it depends how poor steel market outlook is expected.

Although, the steel prices of China is in the lowest level this year, following the rising of economic development, the demand of all kinds of steel will be uplifted, like galvanized steel, ERW pipe, Steel coil, galvalume steel, Flat Bar, galvanized angle iron, etc. I do believe that China Steel enterprises must conquer this difficult age, and accomplish their goal of this year in 2013.

Asian Steel Prices Trends

In China, despite the recent trend of the stock market, rebar futures and forward markets rebounded slightly, but on the spot market, the real impact is not large, slightly better state of mind and sluggish turnover poured cold water pouring cold. Opened this week, is still continuation of last week to run the disadvantaged, each finished China steel prices dropped again. Lumber prices lower reverse towed upstream billet and coke prices to weaken, but also makes the downstream procurement caution is becoming increasingly clear, take the goods market further weakening of short-term weakness will continue.

In India, the steel market remains weak. Indian hot rolled coil market is weak. The local ex-factory price is maintained at of 33750-34250 rupees / tonne ($ 625-635 / t), equivalent to 581-591 U.S. dollars / ton (CFR) plus 7.5% import duty. With the international steel market weakness, import resources to offer continued to fall, Chinese commercial grade hot rolled coil exports to India at 560-570 U.S. dollars / ton (CFR), 5-15 U.S. dollars / ton, down from last week, but the buyer offered $ 550 / ton (CFR). The cold rolling mill and end users is increasing interest on imported resources, but cautious traders and dealers expected prices continue to fall. Due to weak demand, coupled with imports increasing pressure on India this month, the price of hot rolled fear of decline 500-1000 rupees / tonne ($ 9-19 / t).

In Taiwan, the steel market continued to decline. Plate import market decline. 550-560 U.S. dollars / ton (CFR), now China and Ukraine and Resources News India resources offer about 510 U.S. dollars / ton (FOB) compared with the previous two months, a drop of 110 U.S. dollars / ton, buyers bid at $ 540 / ton (CFR) below the acceptable range beyond the steel mills. Given the current market instability, the buyers are willing to take risks under single market waiting to see darker. Expected short-term the Taiwan plate market will continue to be bottoming.

In Southeast Asia, the the rebar market fell. Due to weak demand, coupled with imported billet and scrap drop in price, Southeast Asia rebar prices will decline. Thailand rebar prices 18400-18500 baht / ton (622-626 U.S. dollars / ton, the rationale dollars), more than two weeks ago, a decrease of 500 baht / ton (17 U.S. dollars / ton). Malaysia 10-12mm threaded offer 2380 ringgit / ton ($ 796 / t) to 2310-2370 ringgit / tonne ($ 773-793 / t), 13-32mm threaded offer from 2230 ringgit / ton (746 U.S. dollars / ton) relaxed to the 2210-2230 ringgit / tonne ($ 739-746 / t). With the end of the Malaysian general election, the market expects that the construction of large-scale projects will speed up the process, the terminal demand will rebound, of rebar prices or soon rose. However, the needs of other countries may rebound limited, and after the rainy season in June and July, the terminal needs to slow further, the consolidation coming months rebar market in Southeast Asia is expected to run.

Above all, the prices of steel show the trend of not stability, via the latest marketing survey, we can find that some steel products will uplift according to the demand of steel market, like angle iron, galvanized angle, rectangular tube, square tube, galvalume steel, ERW pipe, etc. So long as focusing on the latest trend of steel news, we will get more chance for steel trade.

The Latest China Steel Information

The last day before the holiday, the nation's major market steel prices unexpectedly comprehensive stabilize run, the market mentality is basically in a peaceful state. According to market monitoring: As of the close, the average price of 25mm rebar 3614 yuan, down 20 yuan from last Friday; 6.5mm high line average 3564 yuan or 16 yuan; 5.5mm hot-rolled average price of 3,710 yuan, down 37 ; 1.0mm cold-rolled average price of 4,807 yuan, down 24 yuan; 20mm plate average price of 3,754 yuan, down 26 yuan.

This week, the domestic stock market fell nearly 3%, steel futures prices fell more than 2%, leading to poor market sentiment. Despite the recent market turnover situation has obviously improved, according to statistics the country's 29 major cities in construction steel, hot-rolled coil, cold rolled coil, plate the total inventory on the decline, but still high inventory levels of all varieties, businesses pressure is still large, strong willingness to return the funds by demand season, pay close attention to the shipping, very price and even pull up the price of power shortage. Short term, although shipments will continue to be maintained at a high level, 51 postganglionic stock will continue to decline, but the premise of the high-yield, for the subsequent arrival of resources concerns, a single from the spot market level, it is difficult to pull prices rebounded significantly. Poor economic conditions, unless the country has a more powerful stimulus policies we mentioned before, Hebei began efforts to cut one-third of steel production capacity policy implementation, the steel market will have a turning point.

This week, the the prices of sheet metal market of domestic continue to slightly lower, especially is the hot rolled steel plate volume Product Price, the of its financial property is the strongest, to follow the steel futures, the trend of the in the long-term electronic disk Price is the more obvious, decline is also of the relatively large. But the all over the, of all varieties sheet metal decline in the prices of compared to with the last few weeks has been distinctly narrowed from the, This with the that have a great relationship on the the heavy volume of of the demand. Week of hot-rolled coil, cold rolled coil, plate stock declined.

Labour Day, the overall level of demand is still expected to continue to enlarge the sales of businesses still remain at a high level. But now higher than the same period last year about 20% of the inventory levels, the formation of a greater pressure on the dealer, so that the price level is difficult to significantly improved. However, if the domestic stock market, steel futures market prices after the holiday can rebound, the stock market there may be some improvement. In a two-day weekend, the domestic stock market, steel futures, electronic trading are not opening, the all varieties spot steel prices have remained stable. But greater impact on of the steel billet Price the trend of the spot price goes low continuously in the weekend two days, the two days of the cumulative decline in reached 40 yuan, As of press, the Tangshan region Carbon 150 billet Price for the 3.16 thousand yuan, reached a the the lowest level in in the this year after the Spring Festival. From the billet market trend during the holiday season, the Festival steel spot market is still not optimistic. The domestic steel market wants to get rid of the dilemma, but also the national macro-stimulus force to appear. There is also a way out is the the domestic steel mills be able to take the initiative to of the. These two from the the the the current signs of point of view, the short-term within the both the difficult to achieve. However, there are a little might be interested in the latter part of the market trend the formation of the policy of the important influence in the we need to focus. Recent media reports, Hebei will be a 1/3 cut in steel production capacity. Mainly is out of to the environmental considerations, the use of the environmental protection means to achieve the abatement of the steel production capacity. In in 2012, the Hebei crude steel production 1.8 billion tons, the average monthly 15 million tons, minus 1/3 is the 5 million t. We need to focus efforts in May this policy implemented and the specific implementation, if you really can have this amount, the market will change, the market price may rise significantly.