Steel Coil Price Forecast This Week

Iron ore market forecast: Last week, the total iron ore shipments from Australia and Brazil were 23.825 million tons, a decrease of 908,000 tons from the previous month, and the shipments from Australia were 16.736 million tons, an increase of 1.132 million tons from the previous month. Among them, Australia shipped 14.072 million tons to China, an increase of 2.552 million tons from the previous month, and Brazil shipped 7.089 million tons, a decrease of 2.04 million tons from the previous month; the total arrivals at 45 ports were 23.762 million tons, a decrease of 4.894 million tons from the previous month. In July, there was a demand for mid-year maintenance at overseas mines, which led to a significant decline in shipments. According to the sea transportation time, the shipments after the maintenance in July have been reflected in the arrivals. The arrivals at ports this period have fallen sharply, and the short-term supply pressure on iron ore has been alleviated. However, the current iron ore inventory has exceeded 150 million. At an absolute high level, although the low arrivals at ports support the current iron ore prices, the support is expected to be relatively small.
The trend of the steel coil market is still affected by many factors. On the one hand, the US election is imminent, and the expectation of the Fed's interest rate cut is being hyped, which is good for the price trend of bulk commodities. However, at the same time, the US government's suppression of my country's economy still exists. If Trump takes office, the trade tariffs on my country may be strengthened. Factors such as fluctuations in the international market, trade barriers, and exchange rate changes may have an impact on the price of steel coils. On the other hand, the weak reality dominates the supply and demand relationship of steel coils in the domestic market, and the ex-factory prices of steel mills such as Shagang and Yonggang have been reduced. The loss margin of steel companies has increased. The market has expectations for the increase and decrease of coke, and the cost support has weakened, which is bearish for the price war of steel in the medium and long term. It is expected that the price of galvanized steel coils will rise steadily this week, with a range of 20-40 yuan/ton. The advantages of Jingtai Steel Coil Factory's products are color-coated steel coils and galvanized steel coils with thick plates. Customers who need thick plate steel coils can contact us.