Domestic steel prices trend higher this week, no match. March 16, the National Φ20mmHRB335 rebar in 24 major cities in the average price of 4,094 yuan / ton, compared with the previous day up 70 yuan / ton, which, south China, north China, northeast, central and southwest region as a whole the price rise. Meanwhile, the market, plate, hot and cold coil and so prices are rising channel.
Business forecast released last week, the Commerce Department also showed that domestic steel prices overall rose 1.7% over the previous week, and for the third straight weekly gain, after the Spring Festival, which, 10mm general medium plate, 3mm hot rolled ordinary sheet, 145 × 2.5mm Heat rolled steel prices rose 2.5% over the previous week, 2.5% and 2.3%.
Business forecasts that the impact of the recent increases in steel prices there were three main factors: First, the cost of steel-making furnace charge rise; second is the market demand increases, such as the gradual increase in construction projects; third, the domestic economy pick up, steel mills raise steel prices, driven Traders orders will increase the market trading volume amplification.
Go for the afternoon, analysts pointed out that as temperatures rise, construction steel demand will continue to release the short term, steel prices are still gaining momentum. Business Productivity Promotion Center in the circulation analysts He Rongliang on "International Finance," told reporters: "Big steel raised ex-factory price of steel, is quite optimistic about the strong wishes of the market, which will stimulate the market continued to show rising momentum. In addition, after the Spring Festival Crude oil and other commodity prices and international steel prices rising, but also a certain support to domestic steel prices. "
"But not without worries." He Rongliang said, "driven by the rising steel prices, steel production capacity will continue to release. On the other hand, the market stocks will rise substantially, to the latter part of Steel City, added risk."
"Undoubtedly, high-rise space inventory will restrict steel production capacity to release pressure in turn supported the formation of the high inventory." He Rongliang further analysis, "rising steel prices, inventories increased, and then up, then increased, as drums Chuan flowers, eventually To stop. With the tightening of domestic credit to the normal level, steel prices will eventually be a correction. "
