According to the price monitoring of SunSirs, as of June 16th, the prices of rebar and wire rod in the Jiangsu, Zhejiang and Shanghai regions slightly was increased this week. As of the 16th, the average price of HRB400 rebar in the Jiangsu, Zhejiang and Shanghai regions was about 3,745.56 RMB/ton, an increase of 2.4% compared to the beginning of the week; the average high line price of HPB300 in the Jiangsu, Zhejiang and Shanghai regions was 3,972 RMB/ton, an increase of 1.79% compared to the beginning of the week.
Market aspect:
As the weekend approached, the national engineering demand was 77,221 tons, a 14.5% increase compared to the previous trading day and a 1.3% increase compared to the same period last week. From January to April, the national investment in real estate development reached 3,551.4 billion RMB, a year-on-year decrease of 6.2% (calculated according to comparable standards); Among them, residential investment reached 2,707.2 billion RMB, a decrease of 4.9%. From January to April, the construction area of real estate development enterprises' houses was 7,712.71 million square meters, a year-on-year decrease of 5.6%. Among them, the residential construction area was 5,429.68 million square meters, a decrease of 5.9%. The newly constructed area of houses was 312.2 million square meters, a decrease of 21.2%.
Inventory and Production
This week, the weekly production of wire rods increased slightly, while the total production decreased slightly; The weekly production and total inventory of rebar decreased.
On the upstream side, the coke market remained flat; Port iron ore tended to strengthen and rise; The rise of the scrap steel market slowed down and mainly consolidated. Due to the lower than expected performance of economic data in May, market sentiment became cautious. However, currently, domestic construction steel inventory is relatively low, and some specifications are scarce, which still provides some support for spot prices in the short term.
Market outlook
It is expected that in the short term, the price of rebar and wire rod will continue to fluctuate with a stronger trend.
