Steel price in the market on May 6, 2024

Screw thread steel: On May 6th, the average price of 20mm three-level seismic resistant screw thread steel in 31 major cities across the country was 3845 yuan/ton, an increase of 31 yuan/ton from the previous trading day. Recently, steel mills have seen an improvement in profits and strong sentiment towards resuming production. Production has rebounded, and the holiday market has continued to slightly reduce inventory. However, the demand for balance sheets has declined, and the data is neutral and bearish. In the short term, raw material prices continue to rise, steel production costs rise, further compressing steel mill profits, but at the same time, it still maintains certain support for spot prices.

Hot rolled coil: On May 6th, the average price of 4.75mm hot rolled coil in 24 major cities across the country was 3851 yuan/ton, an increase of 28 yuan/ton from the previous trading day. In the later stage of the festival, steel broke through the previous oscillation range, and the highest price of hot coil futures rose to 3882 yuan/ton, reaching a two month high. The profitability of the steel plant has improved, and a total of 6 blast furnaces have resumed production during the holiday period, with a daily increase in molten iron production of 24100 tons.

Cold rolled coil: On May 6th, the average price of 1.0mm cold coil in 24 major cities across the country was 4381 yuan/ton, an increase of 6 yuan/ton compared to the previous trading day. According to feedback from some traders in East China, both traders and downstream businesses are on vacation during holidays, resulting in average market demand. On the 6th, driven by the futures market and the release of replenishment demand from downstream terminals, market demand rebounded and overall market transactions were good.

Medium thick plate: On May 6th, the average price of 20mm regular plate in 24 major cities across the country was 3919 yuan/ton, an increase of 15 yuan/ton from the previous trading day. On the first day of resuming work on May Day, black futures rose, leading to increased market speculation and overall trading volume. The shipment of low alloy resources in East China is better than before the holiday. During the holiday period, most cities have agreed upon the arrival of resources, resulting in a slight increase in inventory.