On August 30, the domestic steel market price generally rose, and the ex-factory price of billet rose by 40yuan to 4,990 yuan/ton. Today's steel futures market is rising strongly, the market mentality is biased, and the steel spot market volume and price are rising.
Hot-rolled coils: On August 30, the average price of 4.75mm hot-rolled coils in 24 major cities across the country was 5,743 yuan/ton, an increase of 56 yuan/ton from the previous trading day. The spot market’s early quotations rose slightly. Some areas in the south made up for the weekend’s gains. After the gains, market transactions were better. As the market continued to strengthen in the afternoon, the spot prices also rose. The September maintenance plan of steel mills has increased significantly compared with the previous month. Therefore, the amount of northern resources going south will be significantly reduced. Some market businesses have begun to reflect specifications and price increases, and they are unwilling to sell at low prices. There is not much inventory pressure, and businesses basically maintain normal shipments. , wait and see at a price.
Cold rolled coil: On August 30, the average price of 1.0mm cold coil in 24 major cities of China was 6,507 yuan/ton, an increase of 17 yuan/ton from the previous trading day. According to market feedback, today's futures volatility is intensified and the hot-rolled spot price rises, and cold-rolled prices fluctuate upward. It is reported that today, the mood of many places has risen, most of which are mainly based on transactions. The market's mood to replenish each other is getting stronger, and the downstream inquiries and orders have increased.
Raw material spot market
Imported ore: On August 30, the spot market for imported iron ore in Shandong was generally active in trading. In the morning, the Shandong market PB powder price is 1090 yuan/ton, the super special powder price is 745-750 yuan/ton, and the mixed powder price is 795-800 yuan/ton. The market continued to fluctuate in the afternoon, and there was no significant change in the quotation earlier.
Coke: On August 30, the coke market was stable and strong, and the seventh round of prices has been fully implemented. In terms of supply, since this week, environmental inspections in Shandong have become stricter. Many coke companies have reduced production to varying degrees, and the supply has been reduced. However, the expected production reduction will be short and regional, with limited impact on supply; Shanxi is less Some coke companies passively limit production. In terms of demand, market expectations fluctuate, steel mills are facing production restrictions, and the total demand for coke has fallen. However, steel mills take the initiative to replenish inventory and increase coke inventory in the factory. The contradiction between the supply and demand side of coke continues to weaken. However, the profits of coke enterprises are squeezed by the raw material end, and they still tend to shift pressure from the cost end through rising.
Scrap steel: On August 30, the average price of scrap steel in 45 major markets across the country was 3,316 yuan/ton, an increase of 9 yuan/ton from the previous trading day. Driven by the rebound of finished products, scrap steel prices have stabilized and strengthened, and some scrap steel traders have regained their bullish sentiment. Affected by the rain and weather, the receipts are generally reflected. In the short term, under the restricted production environment, steel mills are still cautious in purchasing, and there is limited room for scrap increase.
Supply and demand of steel market
As we are about to enter the "Golden September", the domestic epidemic has also been effectively controlled, and steel demand has improved. According to a survey of 237 distributors, the average daily transaction volume of building materials last week was 194,000 tons, an increase of 13,000 tons on a week-on-week basis. The transaction volume this week is expected to be fair. At the same time, under the background of "environmental protection inspection" and "crude steel reduction", the supply expansion of the steel industry is limited. Today's market sentiment is optimistic, the fundamentals of supply and demand are biased, and steel prices are generally rising.
Post time: Aug-31-2021