【Lecong Steel World Spot Market Overview】
On the morning of March 17, the price of Lecong steel world spot market was mainly based on the price increase of plates, of which hot-rolled coil was now reported at 5170 yuan / ton, up 60 yuan; hot-rolled strip was now quoted at 5180 yuan / ton, up 30 yuan; cold-rolled coil was now reported at 5590 yuan / ton, up 10 yuan; medium and thick plate was now reported at 5330 yuan / ton, up 10 yuan; low-alloy coil was now reported at 5350 yuan / ton, up 60 yuan; galvanized coil was now reported at 5870 yuan / ton, up 20 yuan; pipe and profile prices ran smoothly.
Basis: On March 16, the mainstream price of Lecong hot rolled coil spot was quoted at 5110 yuan / ton, up 40 yuan / ton from the previous trading day; the price of the hot coil futures 2205 main contract closed at 5080 yuan / ton, up 148 yuan / ton from the previous trading day. The current basis of the local hot coil period is 30 yuan, which is 108 yuan narrower than the previous trading day, and the average basis of the past month is 116.6 yuan.
【Futures Situation】
At the close of the morning of March 17, the domestic black futures prices were mainly increased, of which the main rebar contract rose by 1.85%; the hot coil main contract rose by 1.58%; the iron ore futures rose by 5.23%; the coke futures rose by 2.95%; the coking coal futures rose by 2.07%, and the stainless steel futures fell by 0.77%.
【Overview of north-south hot coil spread】
On March 17, the mainstream price of Lecong's hot coil in the market was 5170 yuan / ton, up 60 yuan / ton from the previous trading day, 120 yuan / ton higher than the price of Tianjin hot coil, and 100 yuan / ton higher than Shanghai hot coil. At present, there is some room for profit from the north-south spread.
【Steel World Weighbridge Index】
On March 16, 2022, the Steel World Weighbridge Shipment Index recorded 116 points, up 6 points, or 5% from the previous session, and up 5 points, or 4.5%, from the same period last week. The Steel World Weighbridge Purchase Index recorded 110, up 16 points, or 17 percent, from the previous session, and up 2 points, or 1.9 percent, from the same period last week. Although boosted by the macro good news, black futures collectively pulled up, steel spot followed, the market trading atmosphere was positive, and the steel market transactions have improved, but the recent epidemic situation is more severe, many construction sites are temporarily suspended, and the demand side is affected to a certain extent.
【Upstream and downstream dynamics of steel industry chain】
1. Price dynamics of imported iron ore:
As of March 16, platts 62% iron ore index was at $144.75/mt, up $10.15/mt from the previous session and averaging $144.2/mt.
2. Upstream dynamics: Coal prices in Hunan Province from January to February 2022 are in an upward channel
According to the Hunan Provincial Department of Commerce, according to the hunan provincial department of commerce important production materials market monitoring system, the province's coal prices in January and February 2022 are in an upward channel. From January to February 2022, the average price of coal sales in Hunan Province was the highest at 1284.5 yuan / ton on February 13, hitting a new high in the past three months, the lowest was 1132.78 yuan / ton on February 20, and the price difference between the highest point and the lowest point was 151.72 yuan / ton, down 11.8%.
3. Billet price:
On March 17, the ex-factory price of some general carbon billets in Tangshan area was raised by 20 yuan / ton including tax, and is now quoted at 4700 yuan / ton, unchanged from the same period last month.
4. National steel production in the first two months of 2022
From January to February 2022, the cumulative production of crude steel in the country was 157.96 million tons, with an average daily output of 2.6773 million tons, a cumulative decrease of 10.0%; the production of pig iron was 132.13 million tons, with an average daily output of 2.2395 million tons, a cumulative year-on-year decrease of 10.80%; the production of steel was 196.71 million tons, with an average daily output of 3.3341 million tons, a cumulative year-on-year decrease of 6.0%.
5. National Bureau of Statistics: House prices in first-tier cities rose in February
National Bureau of Statistics: In February 2022, among the 70 large and medium-sized cities, the sales prices of newly built commercial residences and second-hand residential buildings in first-tier cities rose month-on-month, and the sales prices of second- and third-tier cities were flat or declined month-on-month; the year-on-year increase in sales prices of commodity residences in first- and second-tier cities fell or was flat, and the sales prices of third-tier cities fell year-on-year. Beijing February second-hand residential prices +0.7% (previous value +0.5%), +7.4% (previous value +8.0%); Shanghai February second-hand residential prices +0.9% (previous value + 0.6%), +5.3% (previous value + 5.8%); Guangzhou February second-hand residential prices +0.6% (previous value -0.2%), +0.8% (previous value +4.1%); Shenzhen February second-hand residential prices -0.2% (previous value -0.5%), year-on-year -2.6% year-on-year (previous value -1.5%).
6. As of 24:00 on March 16, the latest situation of the novel coronavirus pneumonia epidemic in Guangdong Province
At 0-24:00 on March 16, there were 83 new locally confirmed cases in the province, 4 cases reported in Guangzhou, 71 cases reported in Shenzhen, 1 case reported in Zhuhai, and 7 cases were reported in Dongguan. There were 70 new cases of local asymptomatic infection, 2 cases reported in Guangzhou, 20 cases reported in Shenzhen, 1 case reported in Huizhou, 2 cases reported in Shanwei, and 45 cases were reported in Dongguan.
There were 21 new imported confirmed cases in the province (of which 6 cases were confirmed by asymptomatic infected people), 12 cases were reported in Shenzhen, 2 cases were reported in Zhuhai, and 1 case was reported in Jiangmen, all from Hong Kong, China; 1 case was reported from Foshan, from Vietnam; and 5 cases were reported in Zhanjiang, all from Singapore. There were 35 new cases of asymptomatic infection imported from abroad, 7 cases were reported in Guangzhou, 2 cases were from Bahrain, and the remaining 5 cases were from Japan, Bangladesh, Myanmar, Jordan and Qatar; 19 cases were reported in Shenzhen, 18 cases were from Hong Kong, China, and 1 case was from Papua New Guinea; 7 cases were reported from Zhuhai, all from Hong Kong, China; and Foshan reported 2 cases, all from Vietnam. 90 new cases have been discharged from the hospital, and 1774 cases are currently in hospital.