Steel prices on July 31, 2023

Building steel: On July 31st, the average price of 20mm grade III seismic resistant threaded steel in 31 major cities across the country was 3886 yuan/ton, a decrease of 5 yuan/ton compared to the previous trading day. Specifically, in the early trading period, there was a narrow range of fluctuations, and the overall price of domestic construction steel remained stable, with some markets experiencing loosening. From the aspect of transaction, the news of the resumption of production of blast furnace came out in the afternoon market, and the performance of futures snail was poor. The Spot market reported that the transaction performance was low, and the price in some areas slightly loosened by 10-20 yuan/ton. In the short term, with the continuous positive macroeconomic news in China and the gradual implementation of many policies, sentiment is expected to further recover and improve. Secondly, the resumption of production of some discontinued blast furnaces in Tangshan may increase fundamental pressure; In addition, the recent continuous increase in coke prices still provides cost support for prices.

Hot rolled plate and coil: On July 31st, the average price of 4.75mm hot rolled plate and coil in 24 major cities nationwide was 4083 yuan/ton, a decrease of 4 yuan/ton compared to the previous trading day. Today, black commodity futures ran in shock. The early quotation in the Spot market was basically stable, and the overall transaction was average. In the afternoon, the market was weak, and prices in some regions were loose. Overall, the weekend market transactions were poor and continued to be weak today. The market transactions were mainly focused on cash companies receiving goods, with average terminal demand and low downstream hoarding sentiment. Overall, the market experienced significant growth in the early stages, with low recognition of high priced resources and some degree of price loosening.

Cold rolled sheet and coil: On July 31st, the spot price of cold rolled sheet and coil nationwide fluctuated, with an average price of 4676 yuan/ton nationwide, an increase of 9 yuan/ton compared to the previous trading day. Today, the black futures market fluctuated and adjusted, with some cities experiencing an increase in spot prices driven by positive macroeconomic policy news. In terms of transaction volume, it is still in the traditional off-season of the market, and transactions are mainly based on on-demand procurement. At the end of the month, in order to recover funds, some traders expressed their willingness to secretly reduce the transaction volume during the transaction process, and overall market transactions are still acceptable.

Medium thick plate: On July 31st, the average price of 20mm regular plate in 24 major cities across the country was 4170 yuan/ton, a decrease of 3 yuan/ton compared to the previous trading day. Futures market volatility is weak, and spot transactions are average. In terms of supply, the recent production of medium and heavy plates has shown a trend of high and slight decline, mainly due to the maintenance of some steel mills in the eastern and northwestern regions of China, resulting in a slight decrease in medium and heavy plate production during the week. In terms of circulation, market confidence has increased, speculative demand has been released in stages, and the phenomenon of receiving spot insurance policies is relatively obvious, with little increase in actual demand. In terms of inventory, due to the limited arrival of steel mills in the early stages, there was no significant accumulation of overall resources.