In August the first 20 days, the domestic steel prices plunge showed a tendency for large steel steel and spot prices generally upside down, the spread was as high as 500-600 yuan / ton. And iron and steel production are closely related to intensive coke price increase at the early stage after feeling the sign of cooling. According to industry sources, even though the coking associations have significantly increased the guide price in August, but the actual purchase price of steel is lower than around the guide price.
Early in August, Shanxi and Hebei provinces have super-Coking Industry Association, is expected to increase coke market guide price, which price increase 170 yuan in Shanxi / ton, compared with July of 1710 yuan / ton was up nearly 10%; Hebei guidance of price increases 150-200 yuan / ton. The price rises well above the previous market expectations of 50 yuan / ton. Since May of this year, Shanxi coke guide prices have been raised for 4 consecutive months, this price adjustment is a breakthrough of the first three months of 60 yuan / ton or so of the gains.
In respect of the industry-than-expected price increases for the joy, the downstream steel prices unexpectedly plummeted. Because steel is a major user of coke, coke price fluctuations always have to look at steel''s face. Slump in the steel case, a substantial rise in August coke pricing of implementation of the blocked, actual transaction are lower than guide price.
Co-channel metal mesh coal researcher Wang Ling, said steel prices plunge in August on the month we will definitely impede coke prices are expected in September coke prices weak. However, she also believes that, since the current steel production has not significantly reduced the demand for coke is still supported, so the possibility of coke prices is not much, depending on whether steel prices fell so limiting the production of steel, cut level. According to industry insiders, is currently the South mills have begun a collective of independent coking plants keep the prices down. Some analysts believe that the current steel prices bottomed out signal has been issued, in September is expected to resume its rally, coke prices will not drop at risk. |
