Market price of steel on August 28, 2023

Building steel: On August 28th, the average price of 20mm Grade III seismic resistant threaded steel in 31 major cities nationwide was 3765 yuan/ton, a decrease of 15 yuan/ton compared to the previous trading day. In the short term, the production of thread steel has slightly decreased recently, but the overall reduction is less than expected. At the same time, the current market demand is still weak, and price increases are mostly driven by emotions, lacking support. Merchants have a cautious mindset and poor purchasing enthusiasm.

Hot rolled plate and coil: On August 28th, the average price of 4.75mm hot rolled plate and coil in 24 major cities nationwide was 3956 yuan/ton, a decrease of 15 yuan/ton compared to the previous transaction. Although favorable policies boosted market sentiment and steel futures rose sharply in the early trading session, they quickly entered a downward trajectory. Recently, there has been a seasonal rebound in real estate sales, but the real estate market is still undergoing deep adjustment, and there is still downward pressure on the real estate market in some cities. Due to the recent continuous decline in steel mills' profit margins, some steel mills' production enthusiasm has weakened.

Cold rolled sheet coil: On August 28th, the average price of 1.0mm cold coil in 24 major cities across the country was 4664 yuan/ton, an increase of 1 yuan/ton compared to the previous trading day. On the 28th, the black futures market fluctuated and went down, with some cities experiencing mixed ups and downs. At the end of the month, the settlement price of the steel factory had already been released, while prices in some cities were mainly stable. According to feedback from some traders, the settlement price of steel mills has increased this month, leading to a reduction in profit margins. In addition, steel mills have reduced their orders for common materials, resulting in incomplete cold rolling specifications, and there will be a certain willingness to increase prices. In terms of transaction, the market demand is not warm or hot, and the terminal is still mainly based on on-demand procurement, with average overall transaction within the day.

Medium thick plate: On August 28th, the average price of 20mm regular plate in 24 major cities across the country was 4072 yuan/ton, a decrease of 5 yuan/ton compared to the previous trading day. On the 28th, the futures market fluctuated and went down, with average spot transactions. Prices in most cities remained stable, with some falling slightly. In terms of supply, with the recent strength of raw materials over finished products, steel mills' profits are about to shrink. Some steel mills have already planned maintenance in September, so short-term medium plate production may experience a high decline. In terms of circulation, there are many low alloy and carbon board resources in the north, and settlement policies will be the main focus in the future. Against the backdrop of sluggish demand, traders will face significant shipping pressure, and social inventory will continue to rise, thereby suppressing spot prices.