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Weekly: steel finishing needs weak deviation

Date:2015-08-31 / Popularity:


1 pre judgment and operation suggestion of industrial wire quotation
 
Market forecast
 
From the influence factors of the steel market, the market is still weak finishing operation next week dominated. Macro surface, this week, the macro is empty, although a number of economic data in June, the domestic economy has stabilized momentum, as well as analysts expect, China's central bank in the three quarter may drop quasi 50 basis points, again cut interest rates in late season also may be good news, but the big environment has not brought confidence, due to the automotive, shipbuilding and other industries downturn, high temperature and rainy weather is also affecting the demand for steel. Market, since mid major steel mills cut price policy, most of the resources appear narrow down; and drawing materials market continued last week pulled up trend, the Jiujiang resource performance is more prominent, later in the week, due to weak demand, pull up the intensity is limited, price narrow down, and in view of the strong steel billet, market stability weak. Overall, if the macro side continue to improve performance, drawing material price is expected to following the push up, given the current screw or weakened, steel prices after a short time oversold bounce after has returned to the downlink channel, although due to production, steel price decline will not be too big, but the short-term bottom is still no hope, next week, or continue to weak to run and amplitude of about 30-50 yuan / ton.
 
Operation suggestion
 
Next week is still weak market, to recommend to the downstream manufacturers to digest the existing inventory, in urgent need of the amount, on-demand procurement for the mainstream rhythm; trader still operate in a low inventory, Kuaijinkuaichu is appropriate.
 
2 structural steel quotation pre judgment and operation suggestion
 
Market forecast
 
From the impact of the structural steel market trend of the main factors, next week offer or steady decline. Two quarter GDP finally hold 7% of the red line, coupled with a number of data M2 and other data is expected to pick up, the domestic economy has stabilized, but the current point of view, automobile, shipbuilding and other terminal industry is still in the doldrums, and then affect the demand for steel has been difficult to heavy volume, is expected next week structural steel market demand will continue. A new round of leading steel policies soon, the market wait-and-see atmosphere slightly thick, Dachang is expected to still save some room for downward adjustment, and small factories, especially small each factory in Shandong Province in the maintenance of production continued under the influence, support prices still exists, so next week continued to be strong possibility is larger. North the various mills currently, in addition to the production of Tianjin Tiangang Group Co., Ltd, Handan Yongxing, temporarily there is no more than the rest of the maintenance were normal scheduling based, which Jianlong July plan 7 million tons of round, 7 million tons of round billet. Inventory, East China, East China and more inventory is still high, because many businesses in North China Resources is relatively tight straight. Overall, in under the control of the environment of weak demand, next week steel structure market favorable factors are not many, is expected to continue to steady mid 30 yuan / ton range.
 
Operation suggestion
 
Trader can be combined with the actual situation of its inventory and capital batch take goods, inventory control, Kuaijinkuaichu, overall stocking cycle should not be stretched, and grasp the opportunity to sell; downstream steel enterprises can continue to on-demand procurement, in addition to the shortage of resource specifications, Jiancang stocking need to be cautious. 

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