It was learned from the Road Network Center of the Ministry of Transport that as of 9 o'clock today (February 26), affected by rain, snow and icy roads, Guizhou, Gansu, Ningxia, Qinghai, Sichuan, Anhui, Guangdong, Hunan, Yunnan, Chongqing, Jiangxi and other 11 provinces (autonomous regions and municipalities) have closed a total of 47 road sections, closed 281 toll stations, and the resumption time is to be determined.
With the recent rain and snow weather in many cities has led to the obstruction of road transportation, which has brought greater resistance to the already sluggish steel market transactions, while the progress of downstream terminal projects has slowed down, and the resumption of work after the year is less than expected, the demand for steel is sluggish, coupled with the closure of 11 provinces for transportation, the steel market transaction is close to the freezing point, and the market business operation is not active, which is negative for the steel trend.
Statistics show that the total inventory of imported iron ore of steel mills in the country is 9530960,000 tons, a decrease of 37510,000 tons; The daily consumption of imported ore in the current sample steel mills is 274420,000 tons, a decrease of 1080,000 tons, the inventory-to-consumption ratio was 3473, flat month-on-month.
Affected by the continuous steel spot market, the profits of steel mills have narrowed, the enthusiasm for production has declined, the demand for iron ore is difficult to increase, and the iron ore has been suppressed.
According to Zhongxin Jingwei, there are rumors in the market that "Shanmei International has reduced production by 8 million tons", the company's ** department said that it is "not true".
With the news of Shanxi coal mine production reduction was falsified, the coking coal cost end branch collapsed, and the stage of negative feedback was formed, which is not good for the time being, but the traditional steel consumption season and actual demand in March have not yet started, and the space below is relatively limited, and we can only wait for the "two sessions" policy. In the case of weakening support on the cost side and falling market expectations, steel prices are still "grinding the bottom", which is bearish for the steel trend.
In the 24 markets of building materials, 5 markets fell 10-20 yuan tons, 1 market rose 10 yuan tons, and the average rebar 20mmHRB400E was 3976 yuan tons, down 3 yuan tons from the previous trading day;
Among the 24 markets for hot coils, 2 markets fell 10-30 yuan tons, and 3 markets rose 10-20 yuan tons 4The average of 75 hot-rolled coils was 4054 yuan ton, up 1 yuan ton from the previous trading day;
In the 23 markets of medium and heavy plates, 4 markets fell 10-20 yuan tons, 2 markets rose 10 yuan tons, and the average of 14-20mm medium plate was 4148 yuan tons, down 1 yuan ton from the previous trading day.
On the 26th, the main force of black rebar fell 49 to close at 3749, down 129%；The main force of hot coil fell 39 to close at 3872, down 1%; The main force of coking coal fell 77 to close at 17025, down 433%；The main force of coke fell 695, closed at 2314, down 292%；Iron ore fell 29 to close at 875, down 321%。
At present, the market's policy expectations for the two sessions have weakened, coupled with the falsification of the news of Shanxi coal mine production cuts, coking coal fell by more than 4%, and some steel mills in Handan, Shijiazhuang, Xingtai and Tianjin plan to reduce the wet quenching coke by 100 yuan and dry quenching coke by 110 yuan, which will be implemented from 0:00 on February 27, 2024. The fourth round of steel mills on coke was opened, the cost of iron ore port iron ore continued to accumulate in the warehouse, and the trend of pressed finished products, coupled with the recent rain and snow weather in many places, steel mill inventory and social inventory continued to accumulate, and the business replenishment sentiment was not good, and it is expected that tomorrow's steel will run steadily and weakly, with a range of 10-30 yuan tons.