Futures rebound
The first is Friday night period snail, showing a small rebound trend, temporary close 3747 up 17 or 0.46%
Billet rising 40
Then, early this morning, billet prices have risen twice, Changli (HX) and Tangshan local steel plant carbon billet implementation before noon after 40 yuan price quoted 3450 yuan/ton
Trading volume in North China
In addition, while the price rises, the volume of transactions did not lag behind. From the shipping invoice situation of Handan Wuan area, 793 more than yesterday, the total volume of shipments of 42,630 tons, 27,755 tons more than yesterday, the volume of almost 120% increase, the market confidence boosted significantly.
Floods in the Yangtze River valley recede
Early continued obsession, meanwhile, near the Yangtze river flood, storm disaster eased, today (29) understands from Ministry of Water Resources of the Yangtze river water resources commission, the Yangtze river hydrology information prediction center, jianli, the lotus pond in the middle reach of Yangtze river water level of the main control station will be back on September 1 below the warning level, after a heavy rainfall to generate multiple Numbers flood impact basic fade.
Is it all good news now?
It really is!
Even though inventories have rebounded in the last two weeks and some insiders are worried, in my view, the timing of the rise in inventories is fundamentally different.There was also a rebound in inventories in June and July, when a passive inventory build-up was caused by lower end demand and higher production.But now this time inventory increase, more because traders bullish, stock up or to control the shipment, this is a kind of active library behavior, perhaps to a certain extent, delay a period of rising steel prices, but once the steel price really rise up and take the initiative to increase library leads to slightly higher inventory for the direction of influence is limited.
Therefore, for the steel market in the later period, the author is relatively optimistic because this year’s infrastructure construction is bound to carry the banner, but we must also see that the demand will not burst suddenly due to the arrival of September, is bound to be gradual release, so in the short term steel price explosion or need to be cautious.(Credit: Fubao Steel)
