High production, high demand under the supply and demand game: inventory is still slowly

Today's market

Tangshan main steel billet price rise 10 yuan to 3430 yuan/ton, including tax factory.Billet direct transaction normal, warehouse spot report 3495 yuan including tax, merchants are mainly shipping;The price of pipe is rising steadily. The welded pipe is 4010, the naked price of galvanized strip square pipe is 3850-3870, and the naked price of shelf pipe is 3580-3620, which is up 30.The profile price is mainly stable, Angle zhengfeng 5#3740 stable;Stable groove Ruixing 8-14#3730;Gongxiangtai 14#3710 down 10;Narrow band mainstream up 20, the overall transaction can be only a few general, some manufacturers clear daily production;Series of market naked price spot 3500-3535 (mainstream 3505) Hongxing 3510 futures 3485-3505;Hot coil low high, 3.5-11.75 Anfeng/Yangang/Zongheng resource quotation 3800-3810, open flat base price 3820.

Tables should be sequential

The volume and screw table need to fall month-on-month, the destocking speed slows down, the end of the traditional peak season is showing signs of weakening, considering that the inventory pressure is still in the same period, traders speed up the delivery, spot is difficult to rise space, maintain the main shock.

The medium and high quality ore deposits in Australia have gradually accumulated, the port pressure phenomenon has been gradually relieved, the demand for blast furnaces in steel mills has further decreased, and the freight volume of Australia and Brazil has increased significantly.Combined with the decline in the demand for timber, ore will be strong to weak.

Inventory monitoring

In the middle of October, the social inventory of steel of five major varieties in 20 cities was 12.16 million tons, 480,000 tons less than that of the previous week, or 3.8% lower.After peaking in early March, social inventories have fallen rapidly, but have generally fluctuated slightly since June.The current social inventory level is still higher than the same period last year, considering the current high production, social inventory is in a relatively reasonable state.

In the middle of October, according to different regions, inventories in the seven regions generally showed a trend of decline, among which the largest reduction was in east China, with a monthly decrease of 150,000 tons, down by 4.7%.North China lost 90,000 tons, or 8.1%;Southwest China and South China decreased by 70,000 tons, 2.6% and 2.1%, respectively;Northeast China lost 60,000 tons, down 14.3%;A reduction of 40,000 tons, or 6.7 per cent, in the north-west;Central China inventory flat month-on-month.

Hong kong-listed review

October steel price shocks mainly.From the point of view of demand, the current macro economy is further improving, the overall improvement of capital liquidity, domestic manufacturing demand continues to maintain a good momentum.At the end of the year, the construction industry demand intensity will not fall significantly, the overall demand remains at a high level.From the supply point of view, affected by environmental protection and strict factors, the pressure on the sales end will be alleviated, which is conducive to steel inventory high drop.