Steel prices fell first quarter

After continued decline in mid-April, steel prices finally bottomed out in the week of July 16th and rose for six consecutive weeks. This degree led the market to believe that steel prices will experience a trend of rising prices. At the same time, steel stocks have recently begun to bottom out. As a result, the steel industry has entered the upward channel or is once again facing a turning point in the heated debate.

However, in the week of August 27, the domestic steel price index fell for the first time in a row for the first time in six consecutive weeks, down by 1.6% from the previous week. For a time, the future trend of steel prices once again traction market nerves. Recalling the rebound of steel prices this round and promoting its rebound, on the one hand stemmed from the limited output of steel enterprises, and on the other hand from downstream stocks. The continued supply of both the drop in supply and the rebound in demand will directly affect the future trend of steel prices. The re-emergence of steel prices again last week may indicate that the recovery of short-term downstream demand is difficult to exceed expectations in the context of weak domestic economic trends. In addition, the recovery of output has shown signs of recovery, resulting in a lack of strong steel prices. Support.

In addition, the real estate market volume continued to decline last week. The data shows that the area of ​​transactions in 13 major cities observed by the China Securities Journal last week dropped by 5.56%. Analysts pointed out that at present, property prices have not yet significantly declined, coupled with the policy has entered the observation period, it is expected that the volume will continue to remain low; and the lack of real estate support, the trend of steel prices are also difficult to rise appear.