Steel trend analysis

01. Thread: The price fell significantly yesterday 

Intra-thread shock fall, short – term prices blocked. Bearish market mentality, the increase of high price shipment pressure, the latest data show that, due to the demand recovery rhythm is not as expected, the thread table needs to decline, the mood further falls, market turnover turn bad, short-term thread further down the risk. Expect weak thread price shock today.

02. Hot roll: Prices fell mainly yesterday 

The overall market price fell yesterday, down 30-90 yuan. Affected by the continuous fall of the plate price, traders quote a weakening driven transaction price down. Downstream operators enter the market to purchase low, traders shipment pressure is not reduced. At present, the release of hot volume terminal demand is slow, and the hot volume price is expected to remain stable and weak today.

03. Medium board: yesterday price stability in the decline 

Affected by disk prices fall back, the terminal to suspend procurement, the overall deal bleak. Spot business mentality continues to weaken, wait-and-see mood aggravates. Among them, the north market demand decreased significantly, the buyer is insufficient to buy power; Southern market trading atmosphere is weak, the recent business wait-and-see. Today is expected to board price consolidation operation.

04. Pipe: yesterday the price held a steady adjustment 

Affected by the high cost, it is more difficult to lower the price, the pipe factory is willing to support the price, the order is reduced, the price difference between the north and the south is narrowed, due to the slow recovery of downstream demand, the market price of the tube blank is mainly stable. Downstream merchants replenishment willingness is not high, the transaction is weaker. The price of pipe is expected to be weak today.

Material trend analysis 

01. Coke: yesterday price shock adjustment 

Australian coal import news again hyped, with the impact of the production limit news and the fact that the industrial profit distribution is not equal, the price of coke short-term pressure operation. At present, the price of coking coal is falling, the price of coke is insufficient, steel mills maintain a higher operating rate, coke prices are difficult to rise and fall. Coke prices are expected to weaken today. 

02. Billet: Yesterday prices fell mainly

Period snail diving, traders’ mentality becomes weak, high resource acceptance degree is low, manufacturers make profits to go goods, the overall transaction has not changed, just need to deal mainly. At present, the downstream will to receive goods is low, the terminal digestion inventory is slow, and the market is mainly speculative transactions. Billet prices are expected to be stable and weak today. 

03. Iron ore: Price volatility fell yesterday

Recent hot metal production continues to be at a high level, steel mills continue to replenish inventory, but in the macro conduction and supervision of stricter circumstances, afternoon prices face a correction. This week steel data negative, steel price callback. Plate price high horizontal stagflation, the city iron ore price may maintain a wide range of shock trend. Expected today iron ore price shock strong.

Steel price forecast today 

Affected by the European and American financial system risk crisis, market panic intensified. At present, there is no stable signal, the late air atmosphere or will continue. This week’s steel demand data is weak, demand recovery is less than expected, steel prices as a whole back, the terminal is willing to take goods is low, market sentiment is depressed, the overall wait-and-see based. Steel prices are expected to weaken today.