The period price appears engulfed and the average system is still weak, and prices may be repeated.

The performance of the steel futures price at the beginning of the morning was dazzling, and the price was once higher at 4860 yuan, but the performance was actually weak, the price continued to fluctuate, and finally closed at 4822 yuan, not only fully comprehending gains. Not to mention, it also fell 12 yuan, a long Yinxian almost surrounded the yesterday's Yang Xian, while the contract's trading volume has also been enlarged today, while the position also has a slight increase. Today's spot market once again out of the trend with the ** market, the first two days ** prices began to rebound, the spot price has continued to decline, but the price fell today today ** spot prices have shown signs of stabilization and recovery, Steel House focus The average price of the tertiary thread in the 28 cities reported was 5,179 yuan, a slight increase of 6 yuan from yesterday. Today's raw material market also witnessed an upsurge in general, in particular, the price of steel billets has increased significantly. Q235 billet prices in Hebei, Shanxi, and Shandong have been raised, ranging from RMB 10-20. The price of fine iron powder also rose steadily.

Today, both Shagang and Hebei Iron & Steel (000709) Group have issued the ex-factory price of construction steel products in mid-May, and prices have generally been adjusted upwards based on steady increase. Among them, the price of sand steel rods was increased by 50 yuan, the rebar price remained unchanged, and the ex-factory price of tertiary thread was 5070 yuan. Hebei Iron and Steel Group's Tangshan Steel, Xuanhua Steel and Chenggang’s plate screw and three-stage thread were increased by 50 yuan, and the prices of high-line and secondary thread remained stable. The adjusted rebar price is 5,130 yuan. The secondary and tertiary threads of Handan Steel are 50 yuan long. From the perspective of the price adjustment actions of these two major steel mills, steel mills are still relatively optimistic about the price of construction steel, and the current spot price is strong, which also supports the price adjustment action of steel mills.

From the production point of view, although there was a limited wave of electricity, it failed to suppress the company’s production enthusiasm. National Bureau of Statistics data show that in April, China's crude steel production increased by 7.1% year-on-year to 59.03 million tons, with an average daily output of 1.968 million tons, a record high, but also higher than the data previously estimated by the China Steel Association. The power shortage does not seem to have any effect on the operating rate of steel mills. From the perspective of consumer demand, the differentiation between steel products is obvious. Although the rebar market is not very popular, the overall turnover is still good, steel stocks continue to decline, and some high-end steel products market performance may not be very good.

On the whole, the fundamentals of steel are placid, and the current decline is more likely to be pressured by macro-financial aspects. ** Steel prices have fallen sharply today, the Yinxian has engulfed the market, and there is plenty of cooperation. The average system is still in a short position and the price may be repeated in the short term.