The current market price of steel
On June 28, the domestic steel market price fluctuated strongly, and the ex-factory price of steel billet rose 50yuan/ton to 4010 yuan/ton($617/ton). Today, the black futures market rose strongly, stimulating the recovery of transactions and driving the steel spot market to rise slightly in the afternoon.
Market prices of four major varieties of steel
Construction steel: On June 28, the average price of 20mm grade 3 seismic rebar in 31 major cities of China was 4,339 yuan/ton, rise up 20 yuan/ton from the previous trading day.
Hot-rolled coil: On June 28, the average price of 4.75mm hot-rolled coil in 24 major cities of China was 4,427 yuan/ton, an increase of 5 yuan/ton from the previous trading day.
Cold-rolled coil: On June 28, the average price of 1.0mm cold coil in 24 major cities of China was 4,972 yuan/ton, down 1 yuan/ton from the previous trading day. Near the end of the month, merchants are more willing to withdraw funds.
Market prices of raw materials and fuels
Imported ore: On June 28, the spot market price of imported iron ore in Shandong rose slightly, and the market sentiment was general.
Coke: On June 28, the coke market was temporarily running steadily. Last week, individual steel mills in Shanxi region raised the second round of reduction by 200 yuan / ton, and other mainstream steel mills did not respond.
Scrap: On June 28, the average price of scrap in 45 major markets across the country was 2,822 yuan/ton, an increase of 38 yuan/ton from the previous trading day.
Steel market price forecast
On the whole, the epidemic situation in key areas of my country has been effectively controlled, and the resumption of work and production has accelerated. However, it is also faced with high temperature and rainy weather in the off-season, insufficient willingness of residents to consume and enterprises to invest, slow recovery of the real estate market, and the risk of stagflation in the global economy. Due to the empty factor, the current recovery speed of steel demand is still slow and unstable.
However, supply contraction and high costs have supported steel prices. As steel mills and coke companies continue to expand the scope of overhaul and production reduction due to losses, supply and demand are in the process of rebalancing. Secondly, the voice of multiple departments to stabilize the economy and the optimization and adjustment of epidemic prevention and control measures also boosted market confidence. In addition, stimulated by the rise in futures and billets, the spot market is still likely to rise, and short-term steel prices may fluctuate strongly.
Post time: Jun-29-2022