after the market pessimism pervaded the high temperatur
Last week, in the face of the news volatility, spot prices oversold, the market slightly panic. Today, the macro bearish news that the RMB exchange rate broke 7 for the first time in 11 years continued to make up the knife, causing more panic in the market. In addition, demand has been in the off-season since June, so under the condition that the arrival of Changxie resources is difficult to digest, some of the new production capacity has been put into production one after another (July 25 Ninggang 2580 m / L blast furnace production, expected to increase production capacity of 2.13 million tons; July 22 Shougang 5500 m / L blast furnace officially put into production, it is expected that the new production capacity of 4.39 million tons of;), will lead to the continuous accumulation of steel stocks, market panic is escalating. Today, iron ore futures led the decline, leading to a downward trend in black futures. The main reason is that the market is afraid of weakening costs, or will lead to the risk of an overall decline in the price center. Therefore, on the whole, under the influence of market pessimism and whether the market is buying up or not, even if some large manufacturing factories return to work after the high temperature holiday, the release of overall procurement demand may be hesitant. Therefore, it is expected that procurement demand in the first ten days of August will still maintain the current pace, and the fundamentals will improve or will be delayed by this. Among them, the terminal research feedback is summarized as follows, the terminal with better order is as follows: if there is inventory, the original inventory will be digested first, and the steel mill will order in batches one after another; if there is no inventory, it will be purchased by the market on demand first, and the steel mill will order in batches one after another; if the order is poor, the terminal with poor order will be mainly digested inventory; if there is no inventory, it will be based on wait and see, and purchase on demand at the right time.
