N80 oil casing prices are also difficult to change the downward trend

In the construction steel market, the price of N80 oil casing is also difficult to change the downward trend, but the decline is significantly slower than before.In markets such as Shanghai and Hangzhou, where the weekly decline in ton prices has exceeded 100 yuan, the current decline has generally narrowed to 10 to 60 yuan.Merchants' willingness to ship is very strong, but market demand continues to be sluggish.After a long period of decline, domestic construction steel prices are currently at a phased low level, and the probability of a further deep decline in prices is not very high.In the later stage, the intensity of domestic environmental protection governance is estimated to be further increased, which will have an impact on the output of the steel industry, and the supply pressure of the steel market may be expected to be alleviated.The overall weak pattern of the N80 oil casing market will not change. Miners have to speculate through some short-term volatility “themes”, but it is difficult to last.According to the latest report of the ”Nishimoto Shinkansen", in the domestic mining market, the price of iron fine powder in Hebei fell slightly, with a weekly decline of 20 yuan per ton.The “winter storage” of ore in some steel mills has basically ended, procurement has been suspended, and the volume of transactions has gradually decreased.Imported ore prices rose first and then fell. The Platts 62% grade iron ore index is currently US1134.5 per ton, an increase of US11.25 per week.Affected by the hype of “short-term topics” such as hurricanes in Australia and floods in Brazil, the price of foreign mines once rose significantly.However, most of the reaction of the N80 oil casing plant was wait-and-see, and the motivation for the market to continue to rise in the future was obviously insufficient.

The author believes that the slight rebound in steel stocks at the end of the year for two consecutive weeks does not mean that a new round of replenishment cycle is coming.At present, N80 oil casing is in the off-season of traditional demand, and downstream procurement continues to slow down. This period of time can be said to be the most difficult day for steel traders; moreover, due to the continued weak market, the market has not shown much hope for a sharp rebound in steel prices after spring, and steel traders' willingness to store in winter is also quite low, but it does not rule out that some markets have a small-scale hoarding phenomenon.Therefore, on the one hand, the rebound in inventory may be affected by small-scale hoarding by merchants, but to a large extent it should be the passive replenishment behavior of the N80 oil casing market after long-term de-inventory.

In summary, during the New Year's Day period, Shagang significantly lowered the ex-factory prices of building materials. On the one hand, it was to reduce the price difference and alleviate the serious phenomenon of inverted steel prices in the market; on the other hand, it also showed that the market was weak in the late stage of the market.At present, bearish news in the steel market still dominates. As the Spring Festival approaches, downstream operating rates will be greatly affected, and steel demand will continue to be weak. In addition, steel traders are also more cautious about winter storage. Therefore, it is expected that domestic steel prices will continue to be weak next week.However, considering that the current steel price is at a low point during the year, there is little room for N80 oil casing to reduce prices again. Therefore, the trend of steel prices maintaining a weak and stable trend may be greater.