The market is bullish and the market is not willing to ship, so we should hold the wait-and-see trend. But we also remind you that the leading steel enterprises have no previous practice of winter storage this year, so we should not be blindly optimistic, and we need to pay more attention to risk prevention.
The market's expectation of rising sentiment continued to rise, and many businesses were reluctant to sell their products. The price of scrap raw materials in some regions was again raised due to the impact of the increase of scrap steel mining enterprises in the periphery, and the overall market delivery was poor; Most of the local steel enterprises are subject to the production restriction and the demand is flat. There is a significant price difference between the individual steel enterprises in short supply and the peripheral steel enterprises, and the purchase price has to be continuously raised. At present, it is the peak season for the sale of finished products, the market transaction is stable, and the upward space of scrap steel is limited. It is recommended to keep the normal shipment.
After the market warmed up, the steel mills increased their positions as required, and the scrap price was supported by the increase of the cost of molten iron. However, due to the increase of demand in the peak season of square tube, the downstream still kept a relatively cautious attitude, and the price increase was slightly slow. After a few days of repair of local scrap steel, the mainstream steel mills were on the sidelines. It is expected that in the short term, the adjustment will be narrow and strong according to its own situation.
Against the background of the great downward pressure on the economy, the role of consumption as a "ballast" and "stabilizer" for economic development continues to strengthen. The personal tax reduction and value-added structural tax reduction have a positive effect on consumption. It was widely expected that the growth rate of consumption will pick up after deducting the influence of automobile factors, but the current consumption situation is lower than expected.
It is worth mentioning that in Tianjin Yuantai Derun Steel Pipe Group Co., Ltd., the manufacturing, production and shipment of square steel tubes, the production and shipment of galvanized steel tubes, and the production and shipment of straight seam steel tubes are stable and slightly higher than in previous years. The insiders are optimistic about the logic of price rise in the construction industry, and believe that the current implementation of staggered peak production by enterprises around the country will continue to run at a high price. Although the leading enterprises have strong pricing power, on the basis of normal cost accounting, it is recommended to pay attention to Yuantai Derun Steel Pipe Manufacturing Company with excellent performance.
Post time: Mar-10-2023
