Positively stimulate steel prices continue to rise

Last week, the domestic steel market prices continued to rise, and steel prices continued to rise. Under the favorable stimulus of steady growth policies, the ** market performance was strong, and the continuous rise in yang led to a continuous increase in spot prices. At the same time, as the weather improved and the downstream construction started to increase, steel consumption entered the busy season, and steel traders shipped faster. , The transaction was strong, and the strong push for prices continued to rise. In addition, the dominance of steel enterprises has been pushed up slightly, which has also prompted traders to remain cautiously optimistic.

However, near the end of the week, some businesses are concerned that the market is going up too fast and overdraft the market space ahead of schedule. Therefore, in terms of operation, the price will stabilize and increase transactions. Overall, the recent steel prices rise significantly, large increases in some areas, especially construction steel, more than 100 yuan / ton, the price level basically back to before the Spring Festival.

As of April 4th, Shanghai 8mmHRB400 plate screw transaction price was 3380 yuan / ton, compared with the previous weekend rose 130 yuan / ton; Ф6.5mmHRB235 high-line transaction price was 3150 yuan / ton, compared with the previous weekend rose 50 yuan / tons; Ф20mmHRB400 rebar price of 3230 yuan / ton, compared with the previous week rose 70 yuan / ton; * 1500 5.5 Carbon coil transaction price 3340 yuan / ton, compared with the previous week rose 10 yuan / ton; 1.0 * The price of 1250 Prairie was RMB 4040/ton, which was RMB 10/ton lower than the previous weekend.

At present, the differentiation pattern of market varieties is still relatively clear. The construction materials continued to rise sharply, and the price of sheet metal was consolidating. There was no eye-catching performance. This is mainly due to the fact that, on the one hand, most of the macroeconomic policies are conducive to infrastructure construction, which effectively drives the price of construction steel up. On the other hand, plate-dominated steel companies, such as Angang, Shagang, Baosteel, etc., have maintained their price policies in April, or have continued to lower prices. This has created a certain negative for the market, and the plate stocks have been digested slowly. Traders are under greater pressure, affecting steel prices. Price rise space.

As far as the short-term market is concerned, the author believes that overall, steel prices will continue to maintain its upward momentum.

First, the basic adjustment of growth will promote the improvement of steel demand. In order to achieve the target of maintaining GDP growth of 7.5%, after entering April, the State Council meeting deployed to support the transformation of shantytowns, deepen the reform of the railway investment system and accelerate the construction of railways, and studied the scope of the preferential policies for increasing the income tax of small and micro enterprises. Subsequent reform policies will be implemented one after another to boost the market's good expectations for the future. At the same time, with the passage of time, the advent of gold and three silver four traditional shopping season, the end-user purchases significant recovery in demand, turnover gradually enlarge, pushing steel prices rebound into the cycle.

Second, destocking accelerated and steel billets rebounded sharply, pushing steel prices upward. According to the data, steel stocks in major cities in China have been lightened for five consecutive weeks, especially for construction steel. The position has dropped significantly, traders' inventory pressure has eased, and some resources and certain specifications have been cut off. As a result, businesses have increased their reluctance to sell goods. Meanwhile, billet recent rebound, weekly gain in more than 50 yuan / ton, and the willingness to push up steel strong enough market confidence, market analysts believe that the short-term there is still upside. The uplift of costs will increase the support for the finished material market and increase the enthusiasm of traders for price increases.

In general, the positive factors of the current market concentration, the short-term steel prices will continue to oscillate upward trend.