Steel market prices for July 4, 2022

Construction steel: On July 4, the average price of 20mm grade 3 seismic rebar in 31 major cities across the country was 4,277 yuan/ton, down 88 yuan/ton from the previous trading day. In the short term, on the one hand, iron ore and other raw materials have fallen recently, and the cost support has weakened, which has dragged down the finished product; on the other hand, the current market demand performance is still poor.

Hot-rolled coil: On July 4, the average price of 4.75mm hot-rolled coil in 24 major cities across the country was 4,300 yuan/ton, down 105 yuan/ton from the previous trading day. The raw materials are bearish, the steel futures are dropping, and under the premise that the overall market demand is still weak, the situation of weak steel supply and demand is further strengthened. The supply-side long-process steel mills have turned losses in an all-round way, and the loss reduction of electric furnaces has continued to increase. Under the pressure of profits and shipments, steel mills have stopped production and maintenance, and the utilization rate of blast furnace capacity has dropped significantly. At the same time, the recent regional precipitation has increased the pressure of disasters on demand, flood disasters have even increased in some areas, and some rivers may experience flooding. According to the inventory data of Mysteel last week, the overall pressure on downstream HRC demand has been released, but the overall strength is deviated, the speed of destocking is still slow, and the demand may not be relieved in the middle of the year.

Cold-rolled coil: On July 4, the average price of 1.0mm cold coil in 24 major cities across the country was 4,883 yuan/ton, down 68 yuan/ton from the previous trading day. The epidemic situation in Jiangsu and Anhui markets is relatively serious. Traders reported that although the current epidemic prevention policy emphasizes that codes should not be assigned at will, the logistics is still blocked and can only be circulated in the city. In addition, the futures hot volume is down, and the transaction situation on the 4th is also poor. , some traders dumped goods in order to withdraw funds. In terms of mentality, demand continued to be sluggish, and the sales volume of shipments was still unable to increase after sharp price cuts. Most traders were pessimistic about the market outlook.

Medium and heavy plate: On July 4, the average price of 20mm common plate in 24 major cities across the country was 4,623 yuan/ton, down 67 yuan/ton from the previous trading day. Supply level: In the near future, the output of medium plate has not dropped significantly as expected, and the willingness to actively reduce production is insufficient. On the one hand, most blast furnace companies are worried that premature production reduction will lead to insufficient production indicators under the crude steel level control policy next year; There are certain profit expectations. Circulation link: After the sharp correction of spot spot in this round, the market mentality has obviously turned empty. Even if steel mills issue low-priced orders, the market side is reluctant to accept the goods. In terms of demand: short-term terminal purchases will still be affected by falling prices and will be very weak. There are downstream orders, but the purchase demand cannot keep up. Unless the market sentiment turns optimistic, the transaction volume can be driven.