On October 25, the domestic steel market price fell, and the ex-factory price of Tangshan ordinary billet was stable at 4990 yuan/ton($785/ton). In the afternoon of this day, with the decline in the steel futures market, purchases deteriorated significantly, speculative demand was weak, and the overall transaction performance was so so.
Steel spot market
Construction steel: On October 25, the average price of 20mm rebar in 31 major cities in China was 5535 yuan/ton($870/ton), down 51 yuan/ton($8/ton) from the previous trading day.
Hot-rolled coils: On October 25, the average price of 4.75mm hot-rolled coils in 24 major cities in China was 5674 yuan/ton($892/ton), down 17 yuan/ton($2.6/ton) from the previous trading day.
Cold rolled coil: On October 25, the average price of 1.0mm cold coil in 24 major cities in China was 6,437 yuan/ton($997/ton), down 16 yuan/ton($2.5/ton) from the previous trading day.
Supply and demand of steel market
The black futures market fell sharply last week, speculative demand faded, downstream users mainly wait and see, and the steel market transaction volume shrank significantly. This week, some areas are still affected by power and production restrictions, and the supply side of the steel industry is expected to be suppressed. The weather in the northern area gradually turns colder, and the downstream construction restrictions become more obvious. However, the southern area is suitable for construction, and the procurement demand still exists.
Post time: Oct-26-2021