Contact Us

Early News

◎News from Ministry of Transport: From Jan to May, the investment of traffic fixed assets reaches to 1013.8 billion Yuan, 7.3% year-on-year growth. Among them, road and water way investment is 75.37 billion Yuan, with 4.8% year-on-year growth; railway investment is 22.44 billion Yuan, with 12.6% year-on-year growth; civil aviation investment is 3.57 billion Yuan, with 39.5% year-on-year growth.

◎News from NDRC and Energy Bureau: The “Notice of Preparation for Energy Summit in 2019 summer" had been issued. According the notice, the construction of gas storage facilities is the priority for the weakness of energy storage. The governments of all regions should carry out the construction from overall and scientific situation. Extra LNG tank and other gas storage container should be adapted in advance to make up the shortage in somewhere.

◎On Tuesday, the central bank did not carry out reverse repurchase operations, and no reversible repurchase expired on that day. Overnight shibor reported 1.0230%, with 2.30 basis points growth. The 7-day shibor reported 2.4660%, with 14.00 basis points growth. The 3-month shibor reported 2.8090%, with 5.00 basis points fall off.

◎Economic News: Since the beginning of May, the regulatory authorities have repeatedly stated that the high leverage of the real estate industry is not sustainable, and the supervision of housing loans remains at a high pressure. At present, real estate enterprises are accelerating overseas debt issuance to supplement their capital needs. However, for the real estate industry that is still in the period of concentrated debt repayment, it is difficult for overseas financing to cover its financing needs, and the housing capital is facing a severe test.

◎According to data from the American Petroleum Institute (API), API crude oil inventories fell by 7.55 million barrels last week, with an expected decrease of 2.891 million barrels; gasoline stocks decreased by 3.17 million barrels, and Cushing stocks decreased by 1.26 million barrels.

◎Unexpectedly, the house sales of May continuously fall in U.S., and the lower interest rate of mortgage cannot stimulate the tough real estate market, and contractors keep complaining for the shortage of land and labor.

◎The chairman of the Federal Reserve System, Mr. Powell, made a speech to clarify the wait and see policy, which indicates that there may not reduction of interest in July. Bullard, the chairman of St. Louis Reserve System think it would be unreasonable for 50 base points of interest reduction in July.

◎The meeting summary from Bank of Japan shows that most BOJ commissioners think it will still take some time to reach the goal of 2% inflation rate, and it is reasonable for the loose policy.

◎S&P Global predict that the GDP growth of America is 2.5% in 2019, and the unemployment rate will be reach 3.4% in the next half of 2019, and the figure begin to rise up from 2020.

◎On 25th , June, the price of steel billet in Tangshan rise up 20Yuan/MT, 30Yuan/MT in Jiangsu, 40Yuan/MT in Shandong and Shanxi. Since opening of this morning, the price in Changli rises up 20Yuan/MT to 3600Yuan/MT, 30Yuan/MT to 3610Yuan/MT in Qian`an. The sales volume after the rise in price is so-so, the price of downstream finished steel is little up.

◎According to the statistics from World Steel Association inclusive 64 countries, the total crude steel output in May of 2019 is 162.7 million ton, 5.4% growth compared to same time of last year. China`s crude steel output rises up 10% to 89.1 million ton, India`s crude steel output grows 5.1% to 9.2 million ton, Japan`s output is 4.6% down to 8.7 ton, South Korea`s output is 2.2% up to 6.4 ton, in 2015, May.

◎On 25th, Mysteel news: the iron ore port spot 62% Australian powder index was 848, 7 basis point fall off, 58% Australian powder index was 818, 5 basis point fall off; Brazilian 65% powder mine index fell 6 basis point to 930, the spot market was slightly down, and the transaction activity was acceptable.

◎The domestic volume of industrial wire: on June 25, 2019, the total volume from 99 enterprises was 26.8 thousand tons, 2.43% and 630 tons increased compared with last trade day. The whole volume of today is increased, but in some area, there is reduction.

In South of China, the volume is 2200 tons, 300 tons lower than last trade day, and 12.94% dropping off.

In North of China, the volume is 5900tons, 440 tons increased than the last trade day, and 8.49% rising up.

In East of China, the volume is 18 thousand tons, 500 tons increased than last trade day, and 3.3% rising up.

In the Middle and South West of China, there is no much change as to last trade day.

◎The steel industry in Tangshan appears to good status. Four favorable indicators have been up and four adverse indicators have been down by Tangshan government achievement of output reduction, reasonable layout, quality promotion, chain extension, pollution regulation.

◎On June 24, the upgrading and reconstruction of Laigang medium-sized steel rolling line, which was built by China MCC17 Group, was succeed in first trail production.

◎Mysteel: On June, 21, Wu`an Atmospheric Pollution Office posted an urgent notification about strengthening emergency control measures in key area. The notification asked Xinjin steel, Mingfang steel, Wen`an steel, Wenfeng steel to stop all sintering actives between 0:00 of 22 th, June to 24:00 of 24th, June, and 0:00 of 28th, June to 24:00 of 30th, June.

◎Mysteel: How much is the raise space for crude steel due to the limiting production in May and June? Recently, the crude steel market has been gone up and down straightly in Tangshan. At the beginning, the crude steel price went down 100Yuan/MT from 3510Yuan/MT because of power cut in Fengrun District, but affected by futures market of last week, the price went up to 3460Yuan/MT in June 21. The price went up straightly by the limited production policy, and the price grew up totally 140-150Yuan/MT to 3600-3610Yuan/MT by EXW price by 25th, June.

◎Black metal market: prices of most black metal go up, and finished products price continuously rise. Most market price affected by futures market and environment protection policy continuously grow up 20-50Yuan/MT. Steel bar and HR coil prices are 25Yuan/MT and 19Yuan/MT, and volume is little down than yesterday. Most distributors are waiting and holding, the later motive force weakens in spot market. For futures market, the market goes up straightly, and the spot steel price discounted futures in the northern region. Futures arbitrage is possible to happen. Tomorrow futures market, steel price may be swung substantially; the spot price may be rise steadily.

◎Construction steel: On 25 of June, the price for construction steel is light up. The average price for steel bar in main cities is 4059Yuan/MT, 25Yuan/MT up compared with the price of last trading day. The price rise for construction steel may be limited in the short future.

◎Hot-roll steel coil: On 25 of June, the average price of hot-roll steel coil with 4.75mm thickness in China 24 cities is 3898Yuan/MT, 19Yuan/MT up compared with the price of last trading day. In prediction, the price may at the high level in the near future.

◎Cold-roll steel coil: On 25 of June, the average price of cold-roll coil with 1.0mm thickness in China 24 cities is 4244Yuan/MT, 13Yuan/MT up compared with the price of last trading day. In prediction, the price today may be stronger.

◎Medium steel plate: On June 25, the medium steel plate price continuously goes up. The average price for 20mm plate is 3972Yuan/MT, 7Yuan/MT up than the last day price. The prices in Fuzhou, Changsha, Tianjin and Lanzhou rise up 20Yuan/MT, and in other area, the prices go up 10Yuan/MT. So, the medium steel plate price will still go up in the short future. 

◎Coke: On June 25, the coke market is stable. Recently, Tangshan government claimed the cease and restriction notification, and all the steel enterprises made out the restriction plan according to it. The demand of coke may weaken due to environment protection policy and sufficient storage of terminal steel factories.

Related News