Steel prices jump up and down to play the whole day?
Looking at the national market, today 69% market price was flat, 0% market price rise, 31% of the city quotes fell. The other from the futures disk, today's spiral shock received red, the main thread 1705 contract eventually closed at 3169 yuan / ton, compared with the previous working day settlement price rose 12 yuan / ton.
Raw materials, December 21, Hebei Tangshan Xinda and other general billet up 20 yuan / ton, tax ex-factory price of 2930 yuan / ton.
Daido iron ore main 1705 contract early in the morning to 570 yuan / ton 570 yuan / ton opened slightly lower, the price shock after the opening down, closing the morning to touch the lowest point in the day, followed by shock rise, intraday price shocks run close to the afternoon close The highest price throughout the day. Compared with the previous day settlement price rose 4.5 yuan, or 0.79%, closing 1548574, positions 1146676, compared with the previous one, the highest daily 576 yuan / ton, the lowest day 553.5 yuan / ton, to close at 573 yuan / Trading day Masukura 45296.
Coke futures 1705 to 17080 yuan main contract opened slightly higher, opening after the price shocks run, hit the day after the peak of the shock downstream, closing the morning close to closing the day the lowest price, followed by shock upstream, intraday price shocks run. And ultimately to close at 1771 yuan, compared with yesterday rose 7.5 yuan, or 0.43%, volume 89372, open interest 116,372.
News of the situation, the SASAC: to promote steel production capacity, increase the "zombie enterprise" disposal efforts; November railway freight volume of 304.9 million tons, up 13.9%; steel prices to production into the theme, mergers and acquisitions and licensing Key words; coal prices are turning point, 5500 kcal coal peak down 80 yuan / ton.
Tangshan Iron and Steel held to resolve the excess capacity of work scheduling. The implementation of 2017 to resolve the task of steel production capacity, investigation of illegal production of "to the steel" and to meet the province's investigation work and other progress. At the meeting, said strict accountability, strict control of illegal production capacity, according to the law must do a good job to resolve the iron and steel enterprises to the production capacity of the work for the next year to better resolve the excess iron and steel production capacity of the mission objectives to lay a solid foundation.
Economic Information Daily: Just concluded the central economic work conference, the "stability and progress" to "rule the country's important principles" and "do a good job of economic work methodology," the height of stability and progress of the "stability" Clearly settled in the anti-risk, combined with the meeting around the risk prevention and control of the layout of the specific tasks, we can see that anti-risk is the focus of the economic work conference.
The State Council issues a list of investment projects approved by the government (2016). For coal, iron and steel, electrolytic aluminum, cement, flat glass, ships and other industries with serious excess capacity of the project may not record new capacity projects; for coal projects from 2016 3 years in principle to stop the approval of new coal projects; strictly control the new traditional fuel vehicles Capacity, in principle, no longer approved the new traditional fuel automobile production enterprises.
China Automobile Dealers Association: November auto dealers inventory ratio of 1.30, a slight decline of 2%, down 7%, dealer inventory levels below the warning level, but higher than the reasonable range of 0.8 to 1.2.
Steel market forecast
Compare the data in recent weeks, found a very interesting phenomenon. Construction steel production fell, stocks are rising; plate production climbed, but stocks are declining. Does this mean that building materials supply and demand pressure is greater than the plate?
According to the latest monitoring, as of December 15, 2016, the national stock of 5.3195 million tons of building materials, WoW 3.88%, rising for a month; plate stock 3.615 million tons, down 1.43% WoW, after the National Day continued to decline.
At the end of November and early December, East China, North China, Central China and other regions thorough investigation "to steel" production enterprises, leading to a number of intermediate frequency furnace shut down, short process steel production capacity utilization from 50% to 35%, indeed caused the supply gap.
However, due to the profitability of the five varieties of steel across the board, long process steel production enthusiasm, coupled with the release of electric furnace capacity, quickly make up for the supply gap. As the fourth quarter of the northern steel mills limited environmental protection production frequently, steel production capacity has been crushed, the recent reduction is limited.
At the same time, the demand off-season effects become more apparent, especially the weather cooling, haze factors led to the North site stoppage, construction steel demand weakening. To this end, the building materials market supply and demand pressure, coupled with tight end of the year, businesses will reduce shipping prices increased.
Seasonal factors on the impact of weaker plate, especially in steel plant full of automotive steel orders, but also caused the most strong performance of cold rolled coil prices. Hot rolled coil, plate supply and demand pressure slightly larger, coupled with futures weakness, resulting in unstable state of mind, but also adjust the space.
With the off-season effect, steel supply and demand pressures, tight end of the year funds, futures market weakness, loose steel costs, short-term negative factors prevail, steel prices have to adjust the pressure. However, the decline in steel prices or limited space, the recent release of risk is conducive to the upstream and downstream steel market demand for a more objective view, to avoid blindly hoarding goods or "burst" production, lead to greater risk.