Seamless pipe prices expected to experience narrow fluctuations today

Price Review:

Seamless pipe: On November 17, Linyi market 108*4.5mm seamless pipe price rose 30 yuan/ton, Liaocheng market 108*4.5mm seamless pipe price stability, Mysteel seamless pipe price index of 4,746.63, up 12.34.

Pipe Billet: On November 17, the price adjustment of hot-rolled pipe billets in Shandong was generally stable. The ex-factory prices including taxes for direct delivery from steel plants (Φ50-130) were: Gangtou Special Steel 3970, Tiangang 3970, Luli 3970 (limited supply). (Yuan/ton)

Steel Billet: On November 16, the ex-factory prices of square billets, including taxes, remained stable, reporting 3660. (Yuan/ton)

Market Situation:

Yesterday, seamless pipe prices in major cities nationwide saw a slight increase. The national average price of 108*4.5mm seamless pipe rose by 8 yuan/ton compared to the previous trading day. Regarding raw materials, the price of hot-rolled pipe billets in Shandong fell slightly by 10 yuan/ton, while in Jiangsu, it increased by 10 yuan/ton. In terms of pipe mills, the ex-factory prices of mainstream pipe mills remained stable for the time being.

In the market, black futures fluctuated, and the market’s upward sentiment continued to strengthen. Although the recent shipment phase is coming to an end, based on the expectation of improvement, the financial market has taken the lead in boosting, and black futures show a relatively strong performance. Faced with the rise in raw material prices, pipe mills primarily adjusted their ex-factory quotes upward. Some traders still maintained low inventory operations, with few shipments but following the lead of the pipe mills.

In summary, it is expected that seamless pipe prices across the country will experience narrow fluctuations today.

Industry News:

On November 17, the People’s Bank of China, the China Banking and Insurance Regulatory Commission, and the China Securities Regulatory Commission jointly held a symposium for financial institutions. The meeting emphasized the need to continue cooperating with local governments and relevant departments, adhere to market-oriented and legal financial support, promote industry mergers and restructuring, actively serve the construction of “three major projects” including affordable housing, accelerate the supply-side reform of real estate finance, and promote the development of a new model for real estate.

From November 19 to 23, a regional heavy pollution weather process will occur in the Beijing-Tianjin-Hebei and surrounding areas. Environmental departments in many places in Hebei, including Tangshan, Baoding, Handan, Hengshui, Xingtai, and Shijiazhuang, have issued notices to initiate Level II emergency response to heavy pollution weather, with the specific lifting time to be notified separately.

The 30th APEC Leaders’ Informal Meeting issued the “San Francisco Declaration of APEC Leaders 2023.” The declaration emphasizes that APEC must harness technological and economic progress to tap into the enormous potential and vitality of the region, promote economic growth, and address all environmental challenges, including climate change.

Last week, the blast furnace operating rate of 247 steel mills was 79.67%, down 1.34 percentage points from the previous month, an increase of 3.32 percentage points. Blast furnace ironmaking capacity utilization rate 88.01%, down 1.22 percentage points, the same percentage point; The profit rate of steel mills was 29.00%, an increase of 8.22 percentage points from the previous quarter and 5.19 percentage points from the previous year.

On November 17, the closing price of the main contract of the thread was 3930 yuan/ton, down 0.68% from the previous month, and the main contract of the hot roll was 4010 yuan/ton, down 0.75% from the previous month.