Steel Price in the Market on October 16, 2023

Screw thread steel: On October 16th, the average price of 20mm Grade III seismic resistant screw thread steel in 31 major cities across the country was 3802 yuan/ton, an increase of 6 yuan/ton compared to the previous trading day. In the short term, most regions have experienced losses in steel mills recently, with some enterprises reducing production independently and short-term supply remaining low; On the demand side, recent real estate sales data is average, and construction sites often purchase on demand, resulting in average demand release.

Hot rolled plate and coil: On October 16th, the average price of 4.75mm hot rolled plate and coil in 24 major cities nationwide was 3846 yuan/ton, an increase of 3 yuan/ton compared to the previous trading day. Overall, the fundamentals of hot coil have slightly improved, and due to the impact of steel mills reducing production, market feedback is relatively timely. The current inventory and demand performance are not yet sufficient to form negative feedback, with a rebound in raw material prices and a slight increase in steel futures prices. However, the actual demand for steel has not recovered as expected, and it is basically a foregone conclusion that the peak season from September to October this year will not be prosperous. The reduction in production on the supply side is relatively small, and the basic performance of finished products is poor. From a supply perspective, with the continuous narrowing of steel mill profits, the production reduction process of steel mills has accelerated, but the current steel inventory and demand are still insufficient to support the current situation.

Cold rolled coil: On October 16th, the average price of 1.0mm cold coil in 24 major cities across the country was 4704 yuan/ton, an increase of 1 yuan/ton compared to the previous trading day. On the 16th, the black futures market fluctuated upwards, and the trading atmosphere in the market improved. Traders temporarily stabilized their prices for shipment, and the market transaction was still acceptable. In terms of mentality, although the upward trend of futures has boosted some market confidence, the overall demand has not changed much, and traders are mostly cautious and wait-and-see in the future.

Medium thick plate: On October 16th, the average price of 20mm regular plate in 24 major cities across the country was 3883 yuan/ton, a decrease of 4 yuan/ton compared to the previous trading day. According to traders' feedback, transactions on Monday have improved compared to last Friday, with average terminal purchases but increased market speculation. The sales performance of the East China Stock Exchange has been impressive. But there are also regions that sell at low prices due to large inventory. In terms of mentality, merchants in various provinces are still mainly actively shipping, and some merchants believe that there is a possibility of price increases in the medium board in the near future.