Steel market analysis in mid-March

• from：迅xunzhuoweb
• admin：admin123
• date： 2022-03-18

                                                        Steel market analysis in mid-March

According to the latest COVID-19 situation released by the National Health Commission (NHC), 31 provinces, autonomous regions and municipalities directly under the Central Government and xinjiang Production and Construction Corps reported 1,317 new confirmed cases between 00:00 and 24:00 on March 16. The number of newly confirmed cases on The mainland has exceeded 1,000 for six consecutive days, with 3,602 new cases reported on March 14.

The outbreak has spread to 28 provinces, including Jilin, Guangdong, Shaanxi, Hebei and Shandong. In some areas, all business activities were suspended and traffic was restricted.

By March 16, shaanxi had closed 22 expressway entrances and 68 expressway exits due to the epidemic and weather. Jiangsu province 161 expressway Toll Gate exit/entrance temporarily closed; G15 shenhai high-speed Hetoudian station two-way entrance, G18 Rongwu high-speed Shuangdao, Rongcheng station Rongcheng direction exit and dozens of high-speed entrance was closed. With the closure of the highway, logistics transport caused obvious impact.

Today's domestic steel futures market into a high horizontal state.

Buoyed by good news yesterday, the black night high open, but sustained power slightly insufficient, or staged retracing, the day basically maintain a sideways trend, the overall end of the material performance is slightly worse than the raw material end, the closing price is lower than the opening price, thread and hot coil futures finally stopped at 4900 yuan and 5000 yuan above. Iron ore futures rose the most, nearly 5%, recaptured the 800 yuan mark, double coke temporarily in 2900 yuan and 3600 yuan below rest.

Inertial spot market prices, amplitude significantly narrowed, afternoon showed signs of slightly loose parts, the overall trading atmosphere in less than yesterday, have a small period operation now, most of terminal purchasing and speculative demand has reduced, on the one hand, demand a little overdraw, disk to digest, good concentration, on the other hand, drive slow, mind wait for a while.

In recent days, the market is more driven by the news, not associated with the actual fundamentals, after the market fully digest the good news, sustained and significant upward breakthrough slightly sluggish, need greater positive drive to support.

In addition, the direction of the Russia-Ukraine war is still unclear, sino-US trade frictions and epidemic disturbances still exist, and after the Federal Reserve raises interest rates as scheduled (in line with expectations), we will dynamically observe whether more countries will join the ranks of interest rate hikes later.
In the short term, the market is in the phase of moving positions for months, far months run stronger than near months. After the price is pulled up too fast, it temporarily enters the consolidation range, but it is still running above the stage support line, dynamically observing whether it can stand firm.

From the point of view of many short positions, the proportion is basically quite, the possibility of high see-saw is still larger, double coke late pressure is still greater than the timber end.

It was learned from the website of Tangshan Department of Industry and Information Technology that in order to speed up the construction of new industrialization bases around the Bohai Sea, Tangshan compiled and issued the "Construction Plan of New industrialization bases around the Bohai Sea" (hereinafter referred to as the "Plan").
"The plan" points out that based on the bohai rim, highlighting the new, to make Tangshan industrial economy bigger and stronger, tangshan to become a more dynamic, attractive and competitive regional advanced manufacturing base. A blueprint for the transformation and upgrading of a heavy industry city and high-quality development appears.

According to the Plan, the concept of new industrialization base is: In accordance with the requirements for high quality development construction, continuous production of high-end products, strong innovation ability, advanced technology and equipment, digital level is high, the green low-carbon sustainable development, expanding opening, characteristic, advantage prominent industrial concentration area, is a high-end manufacturing high value, innovation driven demonstration base, intelligent manufacture first base and green manufacturing base.
（Information from the Internet）