Steel price stop increase

Today’s domestic steel prices continue to push up slightly, but the efforts clearly slowed. Sensitive city of finished material quotation walk more comfortably, and two or three line of catch-up. In consecutive days after a strong pull litre, rebar futures capital market and a period of hot rolled plate in today’s sharp gains, main iron ore futures contracts to drop stop board, the situation of rapid reverse the whole spot market rapidly cooling after soaring, partial variety a price limited, showed signs of loosening, but considering the May Day holiday approaching, the market adjusted operating range is not big, most of the region is still in transition. In April, the domestic steel prices on two waves quickly push up prices, both appear in iron ore futures, harden drive the relevant period and chase after go up sharply on pushing up the power, the formation of the spot as spot prices rose, low inventory, zero inventory status will be the price of the circulation of amplified pull up effect, but the slowdown in economic growth, the whole manufacturing sector performance and flows into effect under the control of the deviation, the downstream demand of whole strength did not change, with the adjustment of the derivatives market, the intermediate links of cash delivery operation or will expand rapidly, to form detour to push prices downward. The main disconnect the current resources and finished product material and steel output continued to climb and tensions between export diversion ability weakened obviously contrast, resource pressure still exists, the quantity of the late market stress situation was not reversed. As a result, the steel price rise rally or follow the period of taking over, but tomorrow is the last trading day before, the finished material price or remains stationary oscillation.

According to the steel market, according to the monitoring web steel information research center today, domestic major cities Ф 25 mm tertiary rebar average price of 2451 yuan (tons of price, similarly hereinafter), was yesterday hit $4; Domestic major cities Ф 6.5 mm line average price is 2573 yuan, from yesterday go 6 yuan; Domestic hot-rolled coil, key cities for the 5.5 mm plate average price is 2523 yuan, from yesterday go 6 yuan; Domestic main center city average price of 1.0 mm cold plate is 3156 yuan, is yesterday go 1 yuan; 20 mm of the key cities for the domestic medium plate average price is 2469 yuan, the same as yesterday.

Raw materials today, tang shan area 150 * 150 carbon billet of 2070 yuan, with flat yesterday; Tang shan area 65-66 grade acid dry base price of iron essence pink of 570 yuan, with flat yesterday; Linfen region secondary metallurgical coke price 910 yuan, the same as yesterday.

Main rebar 1510 contracts by 29 of the previous period to 2398 yuan/ton lower in early trading opened, then shock downward, the lowest 2331 yuan/ton, up to 2412 yuan/ton, closed at 2340 yuan/ton, compared with the previous session (28) settled down 66 yuan, clinch a deal, 7285, 9772, 3156726 hand positions, 18404.

29 main hot-rolled coil plate 1510 contracts in 2497 yuan/ton lower in early trading, then shock downward, the lowest 2446 yuan/ton, up to 2519 yuan/ton, closed at 2460 yuan/ton, compared with the previous session (28) settled down $53, 17196, 27710 hand positions, 72.

Macro aspect, in the first quarter, the national crude steel output of 200.1 million tons, fell 1.7% year on year, rising 2.4% over the same period of last year; Steel output was 266.4 million tons, 2.5% growth, growth fell 2.8% year-on-year. Coke production 112.52 million tons, down 2% by expanded 1.7% year-on-year. Ferroalloy production 8.2 million tons, down 4.8%, rising 10.6% over the same period of last year. Steel exports of 25.78 million tons, up 40.7%; Import 3.23 million tons, down 10%. Iron ore imports 227.06 million tons, an increase of 2.4%. Coke exports of 2.32 million tons, an increase of 19.1%.

Yesterday, the people’s bank of China research chief economist jun ma said that the so-called Chinese version of QE are unfounded. Ma said, “people’s bank of China” regulation, the central bank may not be directly to provide financing to the government. Besides, central bank and the directional reloan, interest rates and deposit reserve ratio and other liquidity adjustment tools, enough to maintain reasonable liquidity, maintain the steady growth of money and credit, there is no need to directly buy xinfadi market debt QE means to put in the monetary base. Chinese academy of social sciences, professor, PhD supervisor Liu Yuhui also said that direct purchase of local government debt is not the central bank’s “character”, but the central bank can through a lot of technical means “flexibility”.

Released on April 28th, anshan iron and steel shares in the first quarter earnings, current operating income and net profit attributable to shareholders of listed companies fell sharply, with revenues than the same period last year fell 19% to 14.961 billion yuan, net profit is 286 million yuan from a year ago, has dropped to 19 million, or 93%. Angang steel is not the most dismal. According to the preliminary results revealed recently, shougang shares in the first quarter of the company’s profits have disappointed, the current estimated losses of 250 million yuan to 350 million yuan.

Economic department at the Chinese academy of social sciences 28 “spring economic blue book: China 2015” analysis of the economic outlook, about 7% is expected in 2015 China’s economic growth, economic growth fell by 0.4% over the previous year, continue to maintain the reasonable interval in employment stability. Consistent with the late last year the agency forecast. According to the report, in 2015, is China’s complete final year 12th five-year plan, is the key to comprehensively deepen reform of the year, balance the relationship between the steady growth and promote the reform is very important. Is expected in 2015, the proportion of the tertiary industry continued to improve, further slowdown in growth of investment in fixed assets, smooth consumption growth overall, foreign trade import and export of slow growth, inflation continues to decline, income growth fell back.