Weekly Summary: 2023 China Bearing Steel Market Trend in Second Week of December is Stable but relatively Strong

Weekly Summary: 2023 China Bearing Steel Market Trend in Second Week of December is Stable but relatively Strong

1. Review of this week

【Price】

This week, the mainstream market price of bearing steel across the country is stable and strengthening. The current average price of GCr15Φ30 round steel in the five major markets across the country is 5160.5 yuan/ton.

[Main market overview]

The price of bearing steel in the Liaocheng market has been partially increased, and merchants have appropriately replenished their stocks. In the Liaocheng market, Juneng and Jiyuan steel plants have relatively abundant supply, and the inventories of many traders remain at around 1,000 tons. At present, the market transactions are average, and there are many inquiries and comparisons in the downstream. People are more cautious in purchasing goods, and procurement is still based on rigid demand. Due to the continued high price of raw materials, the market sentiment is stable and improving, and merchant sentiment has improved, but merchants are cautiously waiting and watching. , only replenishing scarce resources. Taken together, it is expected that the price of bearing steel in the Liaocheng market may be temporarily stable in the short term. Currently, Jiyuan Steel GCr15Φ16-29.5 is quoted at 4,730 yuan/ton, and Juneng Special Steel GCr15Φ16-90 is quoted at 4,600 yuan/ton.

The price of bearing steel in Hangzhou market increased steadily, and the transaction volume was average. The spot inventory in the Hangzhou market is dominated by resources from Zhongtian Steel, Nanjing Steel, and Daye Special Steel, and most traders maintain inventories of around 1,000 tons. At present, the prices of raw materials are still strongly supported, but the market prices have not changed much and are mainly stable. The prices of individual resources have increased, and the transactions are average. Taken together, it is expected that the price of bearing steel in the Hangzhou market may fluctuate in a range in the short term. As of press time, Zhongtian Steel GCr15Φ40-140 was quoted at 4,670 yuan/ton, and Daye Special Steel GCr15Φ20-40 was quoted at 5,100 yuan/ton.

Bearing steel prices in the Wuxi market have increased individually, and transactions at low prices are acceptable. The spot stocks in the Wuxi market are mainly resources from Zhongtian Steel, Xingcheng Special Steel, and Benxi Iron and Steel, and most traders have inventories of more than 1,000,000 tons. This week, merchants mainly focus on collecting payment for shipments. The performance of low-price resources in the market is acceptable, but merchants are generally cautious and wait and see, only replenishing inventory and lacking resources. Taken together, it is expected that the price of bearing steel in the Wuxi market may be stable for the time being in the short term. As of press time, Zhongtian Steel GCr15Φ40-140 was quoted at 4,650 yuan/ton, and Xingcheng Special Steel GCr15Φ31-90 was quoted at 5,820 yuan/ton.

The price of bearing steel in Luoyang market remains stable, and the demand is lower than the same period in previous years. The Luoyang market has a limited increase in resources arriving this week. Jiyuan, Daye Special Steel and Hegang Stone Steel have relatively abundant supply on the market, and some traders have inventories of around 1,000 tons. The purchasing power of downstream terminals is not good, and merchants continue to purchase goods for urgent needs. The market atmosphere is deserted, and merchants are on the sidelines and hedging. Considering that the market price is affected by the price support of raw material costs, it is expected that the price of bearing steel in Luoyang will be mainly stable in the short term. As of press time, Jiyuan Steel GCr15Φ6.5-23 was quoted at 4,850 yuan/ton, Daye Special Steel GCr15Φ20-40 was quoted at 5,150 yuan/ton, and Hegang Shigang GCr15Φ131-180 was quoted at 4,700 yuan/ton.

Bearing steel prices in Dalian market are temporarily stable, and transactions are tepid. In the Dalian market, Benxi Iron and Steel Co., Ltd., Dongte Steel Co., Ltd. and Jianlong Beiman Steel Co., Ltd. have abundant supply, and many traders have stocks of 3,000-4,000 tons. Downstream terminal purchases are cautious, market demand has not improved significantly, and transactions are average. In terms of inventory, due to the slow release of demand, merchants are mostly cautious and wait-and-see. Their willingness to replenish inventory has not increased, and they mainly consume early inventory. Overall, it is expected that Dalian bearing steel prices may fluctuate upward in the short term. Bengang Special Steel GCr15Φ81-130 is currently quoted at 4,700 yuan/ton, Dongte Co., Ltd. GCr15Φ86-180 is quoted at 4,850 yuan/ton, and Jianlong Beiman GCr15Φ30-75 is quoted at 4,800 yuan/ton.

【Steel factory】

No steel mills have released price adjustment information in this issue. Next week, we should continue to pay attention to the impact of consumer demand and steel mill maintenance.

2. Outlook for next week

According to market feedback, the current price of raw materials is still strongly supported, and merchants are on the sidelines to avoid risks. The quotations in the spot market are mostly stable, and the quotations of individual specifications have been raised. In terms of inventory, market transactions have shrunk compared with last week. Although both factory and social warehouses have declined this week, the decline is smaller. The market is still dominated by rigid demand purchases, and merchants are appropriately replenishing their inventories. On the whole, it is expected that the bearing steel market price next week will be mainly stable and fluctuate in a range.