Opening today, the domestic steel market soared.

The black series broke through the early pressure level across the board, and the performance of the raw material side was particularly strong. Coking coal futures rose nearly 9%, successfully stood at the 3200 yuan mark, coke and iron ore futures rose more than 7%, reaching the high points of 874.5 yuan and 3932 yuan respectively, and the high points of thread and hot coil futures broke through the 5000 yuan and 5400 yuan mark one after another.

The cumulative increase of some varieties in the spot market is close to 300 yuan. The low-level transaction in the market is acceptable, and the high-price transaction is general. Some futures and cash companies receive goods, focusing on the positive set operation, the terminal and speculation are slightly weakened, and some are afraid of heights.

On the one hand, the intensification of the conflict between Russia and Ukraine and the soaring price of bulk commodities dominated by crude oil are the factors behind the continuous rise of steel market prices.

On the other hand, under the expectation of the two sessions and the trend of loose domestic economic policies, the macro expectation of the market is better, which is the main factor supporting the rise of the steel market.

In addition, the shift of positions and months in the market began one after another, which was fueled by multiple factors such as capital promotion.

From the current market trend alone, after the price breakthrough is completed, if we stand firm, the high point of the early market will become the bottom support, which does not rule out that there is still room for upward. On the contrary, if we are at the high point and fail to follow up effectively, we may enter the shock range, or even rush up and fall down, and the possibility of performing at any time will be greatly increased.

In addition, the state has strengthened the supervision of the price of raw materials. Recently, the national development and Reform Commission has frequently shouted to guide the operation of coal prices within a reasonable range, do a good job in ensuring the supply and price stability of important mineral products, and once again reiterated to severely crack down on the fabrication and dissemination of information on the price rise of key bulk commodities, hoarding and raising prices. Therefore, we should focus on the changes of market capital and sentiment.

Welded and plated pipes: the rising sentiment in the steel market continues to ferment today. The ex factory prices of domestic mainstream pipe factories have increased by 110-150 yuan since the weekend, and the transaction is hot. However, with the continuous rise of prices, the enthusiasm for market operation has decreased, the high transaction level has fallen, and the wait-and-see sentiment has increased. In terms of the market, the steel traders in various regions rose by 30-100 yuan, but the upside down situation in the market is more common. At present, the quotation of 4-inch galvanized pipe in the market is 5910-6000 yuan, and the upside down range is more than 100 yuan. Stimulated by the rise in prices over the weekend, the average daily turnover of large steel pipes was more than 400 tons, and the average daily turnover of small and medium-sized households was also about 200 tons. However, the turnover declined today, and caution spread. Recently, the commodity prices driven by the international situation have fluctuated irrationally. If the demand in the later stage is less than expected, we should be careful to prevent the prices from rising and falling.

Seamless pipe: on the 7th, the domestic seamless pipe market price showed an upward trend. Since the weekend, there has been a cumulative increase of 50-70 yuan for pipe blank. Today, the ex factory price of seamless pipe in mainstream pipe factories has been increased by 50 yuan, and so far, it has been increased by 100 yuan. According to the monitoring of cloud business data platform, the average market price of 108 * 4.5 seamless pipes in the top ten leading cities was 6258 yuan, up 7 yuan from the previous trading day. The mainstream transaction of seamless pipe market is normal and weak, and the price remains high. Some traders believe that the current price growth is too fast, the terminal procurement may be cautious, and the later transaction will be affected. However, due to the continuous rise of peripheral futures and billet prices, the seamless pipe market price is expected to run strongly tomorrow.


Post time: Mar-08-2022