On April 6, the snail closed at 5160 and rose by 99, which was boosted by favorable policies. It is expected that the snail will fluctuate and rise; the hot volume closed at 5319, up 86, and the iron ore closed at 926, up 31;
China Steel Network Strategy Analysis:
Rebar:
The weekly output of rebar has decreased, apparent consumption has increased slightly, and inventory has decreased slightly. The futures disk was boosted by favorable policies and the decline in weekly production, and the market was concerned about the market sentiment. The rebar 2210 contract was held in wet storage, mainly in short-term trading days.
Iron Ore:
The demand for steel mills to start construction is expected to pick up, with reasonable profits, abundant charge stocks, accumulated steel stocks, overall supply recovery, and the year-on-year situation of downstream transaction demand is still poor. The supply of foreign mines has returned to stable and warm, and the overall margin of supply in 2022 will be warmer, and the port inventory has now risen to a high level.
Valuation: The valuation of steel profit and coking profit is reasonable, and the difference between coil and screw is reasonable.
Trader Tip: rb05, I05 fluctuated and strengthened, still need to be vigilant in the mid-term, the idea of far strength and near weakness remains unchanged
Popular information from China Steel Network:
1. During the holiday, the price of ordinary carbon billet in Tangshan, Hebei will remain unchanged, and the price of construction steel in the main market will increase.
During the small long holiday, the billet in Tangshan, Hebei remained flat, at 4,860 yuan/ton, which was the same as before the holiday; although many places across the country were closed and controlled, most of the construction steel prices in the business market rose, and the regional steel mills added fuel to the flames and continued to push l ex-factory quotation.
In February and March, China’s commodity index edged up to 100.9% month-on-month
According to data released by the China Federation of Logistics and Purchasing on the 5th, the China Commodity Index (CBMI) in March was 100.9%, an increase of 0.1 percentage points from the previous month, indicating that the current domestic commodity market demand has rebounded, and the industry is expected to continue to improve. Procurement, production and other business activities showed positive signs.
3. China Railway: 350 million tons of thermal coal was sent in the first quarter
China Railway: In the first quarter of this year, it will continue to implement the action of ensuring the supply of thermal coal, give full play to the role of major coal transportation channels such as Daqin, Haoji, and Wari, scientifically allocate transportation resources, actively meet the needs of enterprises, implement precise thermal coal supply guarantee, and send thermal coal. 350 million tons, a year-on-year increase of 6.5%, and the coal storage in 363 direct railway power plants across the country remained above 21.7 days.
Post time: Apr-06-2022