6th steel prices up little room

On August 5, the average price of the national 6.5mm high line was 3,549 tons, up 5/ton over the previous trading day, and the average price of 20mm secondary rebar was 3,526 tons, up 6/ton over the previous trading day, and 20mm three-level rebar The average price is 3570/ton, which is 5/ton higher than the previous trading day. The average price of the 8mm Puzhong Plate was 3913/ton, which was the same as the previous trading day. The average price of the 20mm Puzhong Plate was 3647/ton, which was the same as the previous trading day. The average price of the 20mm low alloy sheet was 3,812 tons, which was the last transaction. Day is flat. The average price of 3.0mm hot coil was 3,710 tons, which was the same as the previous trading day. The average price of 4.75mm hot coil was reported at 3627 tons, which was the same as the previous trading day.

As for the market, yesterday's market was under the influence of strong steel billet and futures steel. The price of building materials fluctuates steadily and upwards. Market downside has narrowed significantly. Although due to the high temperature impact on the steel market, there are still many favorable factors in the market. First, a group of major steel companies recently continued to increase the ex-factory prices in early August, reflecting the stronger confidence of steelmakers in the market. The cost still has strong support for the current steel price. The second is the macroscopic aspect. The recent meeting of the Central Political Bureau is only to promote the steady and healthy development of the real estate market, not to talk about real estate regulation, followed by the executive meeting of the State Council, and it is directly deploying the six major tasks of increasing urban infrastructure. This good news came out, the stock market, thread ** market rises in a row, driving the spot market price of steel stabilized and stabilized. At the same time, the manufacturing PMI in July and the PMI in the steel industry all rebounded from June and stood above the 50% line, indicating that China's economy has started to rise steadily. It seems that the short-term market downside is not much room.

In terms of costs, yesterday's Tangshan billet price was temporarily stabilized and opened this morning. The ex-factory price of the current 150 billets of common carbon is RMB 3,070/ton. At present, the overall market of Tangshan has continued to be weak and the transaction is still dominated by low-level resources. The high spot prices have fallen slightly in intraday trading and market confidence has been poor. In recent years, the timber products have been operating weakly and the shipments have been poor. This has dragged down the price of the bills. It is expected that the Tangshan billet market will remain stable today, or there will continue to be a slight decrease in risk.

In the news, the data released by HSBC yesterday showed that HSBC China's service purchasing managers' index (PMI) was 51.3 in July, which was the same as that in June. Among them, new orders for the service industry expanded slightly, and the highest growth rate since March, but the overall service industry expansion rate is still at the survey historical low. In addition, in order to promote the sustained and healthy development of the shipbuilding industry, on August 4, the State Council issued the “Implementation Plan for Accelerating the Structural Adjustment of the Shipbuilding Industry to Promote Transformation and Upgrade (2013-2015)”. This is another major measure taken by the new government to promote steady growth by adjusting the structure and promoting reforms in response to the current situation.

On the whole, yesterday's market price was firm, with upward fluctuations. Although it is good, the transaction situation is sluggish and there is little upside. It is expected that the mainstream will continue to be strong today with narrow fluctuations.