Will the spring of the steel market come early?

In the steel market, it is mainly composed of steel mills, distributors, and users.

For steel mills, spring should not be far away, mainly because since 08, squeezed by upstream raw materials, sluggish downstream demand, steel mills have been operating at a low profit or loss, affected by the debt crisis in developed economies, it is expected that the growth rate of global commodity including steel production raw material demand will decline sharply, thereby reducing the cost pressure of steel enterprises, on the other hand, China's heavy industrialization and urbanization process has just begun, steel demand for sustained and stable growth can be expected, and the profitability of steel enterprises will soon rebound;

For dealers, as long as they do not gamble on the market and are not greedy, stable operation should be available at any time.

For users: the general trend of the national economy is very good, all industries will not be bad in the long run, and the turnaround can be seen in the second half of next year.

Steel**: Volatility downward trend over the next 6-12 months.

November 2011 Answer.

Winter is coming, will spring be far away? The downturn is only temporary, and I believe it will ease later! You can pay more attention to the price of some steel, understand, and see the right time to start! o( o haha

Recommend every ** price, do not need to register, you can get accurate news! ——Yigang Network.

China's steel market has just entered the winter, and the largest consumers of steel are buildings and roads and bridges, etc., you can see what the situation is by looking at the domestic news.

I think that if the steel is still ** all the way, it is very likely that the cost of some buildings will increase, so it is very likely that it will be enhanced in the future, and it is also a problem that many people are concerned about, because just now his **, if it has been rising, it is very likely that the cost of building a house will increase for real estate developers, their costs have also increased, and these amounts may still need to be earned on consumers. Therefore, it is possible that he will have a great impact when the price of the house in Houjie is priced. In addition, it will also have a certain impact on our daily life, and if they go all the way, it will have a certain impact on many of our domestic public welfare buildings, as well as on the entire construction industry. The steel used in road and bridge construction is also a huge burden on our people, so I think the impact is still very multifaceted.

First, it will affect some of the construction costs in our country

We know that our country has always been an infrastructure madman, such a title, so in many cases, when we build railways and build some large-scale construction facilities, we often need to use this indispensable raw material, so if its cost has been soaring, it is very likely that the overall cost of these building materials will increase, so it is not very beneficial for China's later expansion of infrastructure. Therefore, it is very likely to affect the overall development of our national economy, but there are also advantages and disadvantages to such a first-class growth.

Second, the steel industry will be active all the way

Because of the steel market, if it has been, it is likely that there will be some savings on some of their profits, good or to expand the steel market, in our country's development, in this way, it is also a certain benefit for a single industry, but this is a relatively narrow benefit, for some of the influence of our country, such benefits are insignificant, so I think the country still needs to regulate it in the later period, just now, To avoid some uncontrollable situations in the later stage, although many business owners have made profits, but it is the people who have lost.

Third, it will indirectly affect housing prices

Because the steel market they are a necessary raw material when building a property, if the cost of building a house has increased, then for real estate developers, their operating costs have also increased, then such a fund will eventually fall on the head of consumers, that is to say, we plan to buy a house, it is likely that in the later period, the house price will still follow the steel market to carry out, which is very bad news for many residents, Therefore, the impact of the steel market is very multifaceted.

Many people are actually wondering about a question, whether Australia can use iron ore to sanction China, this question, after today's steel ****, is it more concerned by many people, so is this really the case? In fact, it's not that simple.

Upstream and downstream industries will share dividends, raw material prices, downstream related product prices, steel mill workers' wages, truck increments, steel prices can also drive regional economic development.

Some dealers who sell steel products will follow.

Many consumers may not choose steel products, but will choose their alternatives.

, the decrease in consumption, has an impact on the processing sites of steel.

It will cause the impact of building materials to be raised, for example, when we decorate and customize some steel products, it will be raised, which is slightly unfavorable to our lives. There is also the possibility that some heavy industries that require steel may suffer from costs.

It will cause difficulties in our decoration, and it will cause a serious decline in the economy, because the steel ** rises, and we all make very little money, so that's it.

It may cause a decline in the purchase rate of domestic steel, and the purchase rate of other steel products may increase with the same cost performance.

It will bring a lot of impacts, and it will also lead to the price increase of some cars or some other substances that require steel, and there will be some chain reactions.

1: It will lead to difficulties in the survival of downstream steel enterprises, such as various consumer-facing parts industry, they are facing consumers, pricers, price increases, which will affect sales, no price increases, enterprise development will not be able to support, and enterprises may face the situation of not being able to buy steel.

2: The price increase of raw materials is higher than the price increase of steel, which will directly lead to the compression of the profits of the steel industry, and small enterprises will face a greater crisis if they cannot bear the financial pressure.

In fact, every time the price of iron ore rises, most of the profits are raw material companies.

3: The industry forces the demand side to reduce demand, and the high cost of steel products will allow consumers to reduce demand, which will lead to a decrease in market demand, and if it lasts too long, it may cause an economic recession.

Generally speaking, when the raw materials fluctuate, the construction party and the owner will make a difference according to the contract to reduce the risk of both parties, but when the raw materials fluctuate significantly, even if the adjustment is different, the construction company will still face huge cost pressure.

In this case, it will lead to the emergence of all products related to steel, which may also lead to prices, and will also lead to a slowdown in economic development.

Hello dear, generally come to bury the steel industry is facing market pressure, and many steel mills will have to face the risk of bankruptcy. Due to the changes in the economic situation, market demand and pressure will directly affect the survival and development of iron and steel enterprises, and now the market is not good, which is not conducive to the development of iron and steel enterprises, so the possibility of steel mill closure is also relatively large. The possibility of the collapse of the steel mill depends on the specific operation of the steel mill, if the steel mill has not been in good business conditions and the profit is not high, then even if the market falls sharply, it may lead to the closure of the steel mill.

In addition, if a steel mill invests too much or does not operate well, coupled with a sharp market decline, it can also lead to the closure of the steel mill. Therefore, the possibility of the collapse of the steel mill depends on the steel mill's own operation, if the steel mill is operating well, has a good business strategy, timely adjustment of the product structure and market structure, in the case of a sharp market fall, it is possible to keep the lifeline and avoid bankruptcy. <>

Steel demand continues to be strong, and supply has reached near the 19-year peak. Last week, the social inventory of steel continued to decline, and the social inventory of the five major varieties of steel fell by 10,000 tons, and the speed of social inventory removal was maintained; The inventory of the five major varieties of steel mills fell by 10,000 tons, and the decline in the inventory of steel mills slowed down sharply The downstream rush will accelerate the release of demand, and the current steel supply is unlikely to continue to rise sharply, judging that the steel inventory will still be rapidly depleted.

The average daily turnover of building materials is 10,000 tons, and the demand for building materials remains high. This week's apparent consumption of steel was 10,000 tons, which remained at a historical high, of which the apparent consumption of rebar was 10,000 tons, which was 10,000 tons higher than the average level from 2015 to 2019). From the perspective of apparent consumption, the steel market is currently booming in supply and demand, considering that the downstream demand has a seasonal decline but the overall is still strong, steel inventories will continue to deplete.

Thread production has reached a record high, and steel production is close to the ceiling. The output of the five major varieties of steel totaled 10,000 tons, an increase of 10,000 tons from last week. In terms of varieties, due to poor profits, the current output of hot coil is still at an absolute low level in the same period of previous years; Rebar production continues to rise, has hit a record high, and there is little room for further growth.

Due to the scrap steel, the profit of the electric furnace has been compressed, and the increase in the supply of the electric furnace has slowed down. Considering that the operating rate of blast furnaces and electric furnaces has reached a relatively high level, it is expected that the space for steel production to continue to rise in the later period is very limited.

The pandemic may lead to changes in the current economic cycle. The epidemic has had a significant impact on the domestic economy, and in this context, both monetary and fiscal policies are undergoing positive changes. The market generally believes that the demand for real estate and infrastructure will decline in the medium and long term, but at present, investment still has an impact on the domestic economy and plays an irreplaceable role.

It may be seen that real estate and infrastructure will become an important force to stabilize the economy in the later stage, which may change the cyclical trend of the entire real estate and infrastructure. At present, the inventory level of real estate is low, the continued decline in interest rates and the easing of real estate policies may have a very important impact on real estate sales in the second half of the year, if this round of sales bottoms out in the first half of the year, then we may see an upward cycle of real estate in the next 2-3 years, thus changing the consensus expectation that real estate will continue to decline. The second special bond for infrastructure construction also has a relatively large space for infrastructure, and the market was also very pessimistic before.

The steel sector has entered an important strategic allocation period. It is judged that after the end of the epidemic, on the one hand, the demand cycle of the demand side in the next 2-3 years may change due to real estate and infrastructure. At the same time, in the medium and long term, the industrial pattern will improve, the concentration will increase, the bargaining power of the leading enterprises will be improved, and the competition pattern will be optimized.

The steel sector is currently in a stage of low expectations and low valuations. At the same time, after the end of the epidemic, the concentrated demand for resumption of work and rush should be relatively concentrated, and steel prices will most likely hit the bottom**.

Focus on recommending industry leaders with both growth and cost advantages, as well as special steel and high-end materials.

Valin Steel released its 2021 semi-annual performance forecast. According to the forecast, the company's net profit attributable to shareholders of listed companies during the reporting period was about 5.3 billion yuan to 5.7 billion yuan, which is expected to increase by 75% to 89% year-on-year; Shougang Co., Ltd., which disclosed the semi-annual performance forecast, is expected to have a net profit attributable to shareholders of listed companies in the first half of the year, an increase of about 542% year-on-year; TISCO Stainless Steel's net profit attributable to shareholders of listed companies in the first half of the year was about 100 million yuan to 100 million yuan, an increase over the same period last year.

prospectsFrom Valin Steel's performance report, we can see that steel's profitability has far exceeded expectations, more than five times higher. In this case, we can conclude that the development prospects of steel are very good. I remember watching an interview with a leader in the steel industry who spoke really Versailles, and he said that their steel prices were embarrassed to rise again, but they still had to rise, because the market was in short supply, and they had no choice.

However, even with the price increase, steel is still very hot in the market, and they can only try to increase production and meet the needs of all customers as much as possible. From this speech, we can see that this is really admirable, an industry has achieved a price increase without disadvantages, but the degree of demand for on-time supply can only show that the steel is really of high quality, in order to be recognized, and the market share is rising.

The impact is obvious, the price increase of steel, should also be related to the steel industry, some construction machinery products, is also the highest skyrocketing, the price increase is as high as five times, the upstream after all or affected the downstream, most of the leading machinery enterprises have been preparing to raise prices again, in response to the soaring costs. It can be said that the steel situation is very good, and the development of the steel industry in the second half of the year should continue to remain at a high level, and profits will continue to double.

The price of steel is transmitted to the downstream industry, and the prospect of the steel industry in the second half of 2021 is naturally immeasurable, and the situation is very good.