This Week's Steel Coil Market Price Forecast

1. Bank of China interest rate adjustment: On October 21, the People's Bank of China authorized the National Interbank Funding Center to announce that the loan market quotation rate (LPR) on October 21, 2024 is: a 1-year LPR is 3.10%, and 5-year LPR is 3.60%. The above LPR is valid until the next release of LPR.
2. Iron ore arrival: In this period, the arrival volume of iron ore at 45 ports was 23.837 million tons, a decrease of 5.651 million tons from the previous month. In terms of shipment, the total global iron ore shipment was 28.873 million tons, a decrease of 1.335 million tons from the previous month, of which the total shipment of iron ore from Australia and Brazil was 24.606 million tons, a decrease of 309,000 tons from the previous month. Australia's shipment volume was 17.316 million tons, an increase of 902,000 tons from the previous month, of which Australia's shipment volume to China was 13.946 million tons, a decrease of 228,000 tons from the previous month. Brazil's shipments were 7.291 million tons, a decrease of 1.211 million tons from the previous month.
3. Steel inventory: According to a survey by an authoritative industry organization: The total inventory of sample steel in this period was 7.6955 million tons, a decrease of 2.26% from the previous month. In terms of varieties, the inventory of building materials was 3.1814 million tons, an increase of 0.38% from the previous month; the inventory of hot-rolled coils was 2.7058 million tons, a decrease of 6.23% from the previous month; the inventory of medium and thick plates was 681,900 tons, an increase of 0.62% from the previous month; and the inventory of cold-rolled and coated steel was 1.1264 million tons, a decrease of 2.26% from the previous month.
Overall, the current steel price has returned to the volatile trend, which on the one hand shows the market's recognition of short-term prices, and on the other hand, reflects that steel prices are gradually returning to reality. At present, the macro expectations are still acceptable, the central bank has significantly cut interest rates, and monetary policy continues to exert its strength. At the same time, under the economic pressure in the fourth quarter, there is still a certain expectation of the release of subsequent policies. On the other hand, the industry is showing signs of weakening. The traditional peak season is about to end, and the recovery of demand after the holiday is relatively lower than expected. At the same time, the digestion rate of steel inventory has also slowed down slightly.
It is expected that the price of galvanized steel coils will fluctuate between 10 and 20 yuan this week. Jingtai Company mainly produces PPGI PPGL GI GL products. If you happen to have any needs, please contact us. We will provide high-quality products and services.