Iron and steel industry: The month-end of the pressure to show steel prices first after the suppression

Raw materials: Price mixed now this week the price of iron ore is more stable, the domestic mining phenomenon increased, but the deal is slower than earlier, so the price of iron powder Yin fell. Limited by coal supply, coking coal resources, price increases, the current Coke enterprises are facing loss pressure, accompanied by the improvement of demand for steel downstream, coke price increases in line with expectations, the latter still has a further rise in space.　　Iron ore import heat, led Brazil, Australia sea freight costs rose again, creating a New Year, the BDI index exceeded 2,700 points. Steel Price: At the end of the month, the pressure appears, steel prices first Yang after 1, domestic steel price shocks in the higher. Steel price composite Index week rose 0.6% this week.　　Steel prices since the end of April up to now, the cumulative rise has reached 5.63%. This week the main products are showing the first rise after the fall trend. More and more close to the mill order date, traders are facing the pressure, so some traders have to reduce the meaning of dumping, while the early profit of the settlement, so that the steel price half a week back.　　Downstream demand recovery gradually emerged, the flow of amplification demand for the effect of the steel mills pull up the mentality of the full, traders on steel prices remain optimistic, so next week steel prices will continue to rise in the shocks. 2. The international steel price is stable.　　International steel price trend this week, the CRU composite index of 129.9, with the same as last week, lower than the domestic steel price of 0.6% of the gains.　　3, the main futures contract 0909 thread turnover significantly reduced. Gross margin: Changes in gross profit margins this week the main varieties of steel prices vary, so different varieties of Maori change in differentiation. According to our model, the reduction of the gross margin of threaded steel and hot rolled coil, especially the reduction of the hot roll margin reached 72 yuan.　　The price of cold-rolled, galvanized and plate steel increased more than the cost. Social inventory: Weekly decline to 3.2% hot-rolled sheet stocks this week saw its first drop since May, and this week's hot-rolling weekend prices have fallen by 50 yuan last week, so we think the process of hot-rolling to inventory will continue. Thread, wire product inventory continued to appear a sharp decline, basic and last year flat, the peak season of the restoration of building needs, making these products become the most risk-resistant varieties. Since February, the cold rolling social inventory has fallen by week, as of this weekend, the cold rolling social inventory growth of only 6.26% year-on-year, from the beginning of February year-on-year increase of 33% per cent significantly reduced. From the reaction of steel price, cold rolled product price increases the impetus is stronger.