Last weekend, the cost of the end of the billet force up, as of press time, 4 days has risen 130 yuan / ton, is now quoted at 3870 yuan / ton, breaking new highs during the year, the steel market also will be "red flag fluttering."
On the supply side, according to the CISA statistics, the average daily crude steel output of member steel enterprises was 1.7895 million tons in late October 2017, a decrease of 28.9 thousand tons or 1.59% over the previous month. The national average daily output was 2.804 million tons, a decrease of ten- 27,900 tons, down 1.21%. As of the end of October, the key steel enterprises' stock of steel products was 12,184,500 tons, a decrease of 61,690 tons over the previous month, down 4.82%.
In terms of downstream demand, from January to September, the sales area of ??commercial buildings in the country increased 10.3% YoY and down 2.4% from January to August. Sales volume increased 14.6% YoY and growth rate dropped 2.6% MoM.
Although the market traders, agents are reflected in the downstream demand worse, take the goods difficult, but the price is still rosy all the way, in addition to the snail, billet two weathercards to help out, but also the policy before the speculation mood.
Policies, Ministry of Environmental Protection on the 14th released "on the Beijing-Tianjin-Hebei air pollution transmission channel in October 2017 the ambient air quality of the letter" shows that from "2 +26" city in October 2017 PM2.5 concentration improvement From the point of view, the atmospheric environment in Beijing, Tianjin and Hebei and the surrounding areas is in dire straits and the pressure to complete the autumn and winter seasons is enormous. The Ministry of Environmental Protection urged all localities to step up supervision and supervision, take more targeted measures to improve the governance effect, actively respond to heavy polluted weather and ensure the completion of environmental air quality improvement goals. After the news came out, the snail pulled high, the steel mills have also raised the ex-factory price.
At present, the north has begun to enter the heating season, facing the limited production has also entered a small climax. However, the recent price trend of building materials is still a period of volatility, and not as previously unilateral market expectations rise. At present, all prices have come to a relatively high position, and then think it is more difficult to make a substantial upward breakthrough. Therefore, we suggest that you should not blindly chase high, appropriate Jiancang, rallies can be shipped.
