As of 19 days, the construction steel market price fluctuated slightly. The average price of rebar steel in major cities was 4,113 yuan/ton, down 15 yuan/ton from the previous trading day. The main contract closing price of 3696 yuan/ton, the settlement price of the previous working day remains stable, compared with the market price of Hangzhou Zhongtian thread 4040 yuan/ton of 294 yuan/ton discount. Although the traditional peak season already in mid-september, but the demand is less than expected, after economic data caused fluctuations, superposition of the recent phase of the spiral disk concussion run, if the market can stabilize, disk trading line support capability, also have no a sharp drop in necessary, will focus on 22nd the federal reserve to raise interest rates in the morning boots to the ground, The interest rate resolution of the Fed’s interest rate meeting is one of the important variables affecting the market. The probability will increase by 75 basis points. If the interest rate increases by 100 basis points, it will be greatly negative for commodities. In the medium and long term, the rise in interest rates in Europe and the United States will accelerate the fall in commodity prices. At present, the overall demand is poor and the market inventory is slightly overstocked, so the overall mood of market traders is cautious.

Overall macroeconomic data improved in August, with production, investment and consumption all on the upside. The growth rate of fixed asset investment increased slowly, and the year-on-year decline of new starts and construction expanded slightly, falling by 6.73% and 8.93% respectively. The decline in the area of land purchased widened to 56.6% year on year and 6.9% month on month, about equal to the decline in new starts. According to the data, the worst is not over for land acquisition and new construction. Even if urban investment Corporation participates in land acquisition, the area of land acquisition is still very low, and the premium rate is also fluctuating at a low level. Real estate companies will put more effort into the second half of the construction. The decline in investment in real estate development expanded, and the average daily output of crude steel, pig iron and steel rose from the previous month. The contradiction between supply and demand accumulated again.

Overall, macro data in September will continue to pick up momentum. The economy in the third quarter is still picking up, which will be significantly better than 0.4% in the second quarter. Real estate is still a drag, only the completion of the end performance bright, showing that the “protection of buildings” and related policies or play a due role. The decline in the growth rate of real estate investment also continued to expand, affecting the consumption of household appliances, building materials and other categories. The growth rate of sales remained low, and the construction and installation projects, new starts and land acquisition of real estate remained weak. However, we should also note that the decline in real estate investment has narrowed and infrastructure investment has picked up substantially, easing the downward pressure on real estate and exports to some extent. The overall macroeconomic pattern of “strong production and weak consumption” needs to be further improved.

At present, the profit of rebar mill is obviously repaired, with -80~100 yuan/ton profit, and some steel mills have begun to resume production and the overall supply has increased. Although the supply of steel mills has increased, the market steel mills and social inventory are at a low level, the market resources are relatively tight, and the price support is strong

Recent construction steel prices in most parts of the country are weak, the market sentiment is more uneasy. Although the impact of the typhoon has come to an end, the release of short-term demand is still insufficient, and the willingness of middlemen to enter the market is low. Period snail shock fell, market sentiment turned weak, some businesses for shipping, prices continue to fall. This week, the contradiction between supply and demand appeared, inventory stopped falling and picked up, business sentiment is generally depressed, real estate is facing a big cycle turning point, coupled with the Fed interest rate increase brought by the global economic recession pressure, the operating conditions of steel enterprises are still not optimistic. The overall arrival of steel mills is general, the market inventory continues to be low, there is a period of small inventory process around October, raw materials double coke, iron ore before the strong operation, steel cost downward space is limited, loss forced steel production increased. Short – term downward conditions are not sufficient, rising power is also insufficient, price movement space is limited. Construction steel prices are expected to be stable in the near future small adjustment operation