Yesterday, according to the China Iron and Steel Industry Association official micro news, in mid-September, the social inventory of 5 major varieties of steel in 21 cities was 9.31 million tons, a decrease of 260,000 tons, down 2.7%, and the inventory decline was slightly expanded; An increase of 1.79 million tons from the beginning of the year, up 23.8%; An increase of 590,000 tons over the same period last year, up 6.8%.
Data show that in mid-September, by region, the inventory of the seven regions in addition to central and South China had different degrees of month-on-month decline, the specific situation is: East China inventory decreased 160,000 tons month-on-month, down 5.9%, the largest reduction region; North China decreased by 70,000 tons, down by 6.6%, the largest decline; The northeast decreased by 30,000 tons, down 6.5 percent; Northwest decreased by 20,000 tons, down 3.9%; Southwest decreased by 20,000 tons, down 1.3 percent; Central China inventory increased by 40,000 tons, up 3.9%; Inventories in southern China were flat month-on-month.
"In September, construction steel based on the early inventory of low prices, prices rose in September, many traders to make up for the loss of trading enthusiasm has increased, so the social inventory has declined significantly." In addition, due to the continuous contraction of profits, steel production enthusiasm is low, some enterprises take the initiative to reduce production maintenance, or hot metal inclined to high-profit products, so construction steel production reduced ", according to Zhuo Chuang information analyst Tian Yan analysis, in September construction steel supply side in the overall loss of profits, the overall production reduced; On the demand side, as the construction steel market entered the traditional peak season and the market expected mentality improved, the weather turned cool, the site operating rate increased compared with the rainy season, and the downstream demand side improved; As for the macro side, more policies continue to stimulate the market, the housing market "recognize housing does not recognize loans" to boost the market, coupled with interest rate cuts and reserve requirements from August to September, the release of liquidity, the market for construction steel investment enthusiasm is also increasing.
For the future of construction steel, Tian Yan predicted that, "Overall, in October, the construction steel market or shock is weaker, the supply side or supply and demand are weak, the price or show a shock trend, but the fall is limited." According to the analysis, from the supply side, as other steel products also gradually entered the loss stage in September, construction steel production is low, specifications are not uniform, and there is an increase in building materials production in October. On the demand side, the change in the demand for construction steel is small, the change in the newly started area is small, and the overall change in the market demand side is little in October. In the fourth quarter, as the weather turned cold, construction work fell, and demand may contract.
