Weekly Summary: 2024 China Bearing Steel Market Trend in First Week of July Is Consolidating and Operating

Weekly Summary: 2024 China Bearing Steel Market Trend in First Week of July Is Consolidating and Operating

1、 This week's review

【In terms of price】

This week, the mainstream market prices of bearing steel in China have been consolidating, and as of today, the absolute price index of GCr15 is 5094.5 yuan/ton.

【Overview of Major Markets】

The price of bearing steel in Liaocheng market is running weakly and steadily, and merchants continue to reduce inventory. This week's inventory has decreased less compared to last week. Currently, the Liaocheng market has more spot bearing steel resources from Juneng and Qinggang, and multiple traders maintain inventory at around 1000 tons. At present, terminal procurement is cautious, new orders are decreasing, and the market price of bearing steel is relatively chaotic. In order to promote transactions, merchants are rushing to buy at low prices. Overall, it is expected that the price of bearing steel in the Liaocheng market will fluctuate narrowly in the short term. Currently, Jiyuan Steel's GCr15 Φ 30-75 is priced at 4600 yuan/ton, while Juneng Special Steel's GCr15 Φ 16-90 is priced at 4370 yuan/ton.

The price of bearing steel in the Hangzhou market is running weakly and steadily, with average transactions. The spot inventory in the Hangzhou market is relatively abundant with resources from Zhongtian Iron and Steel, Nanjing Iron and Steel, and Daye Special Steel. The inventory levels remain stable, and steel mills are shipping normally with little change in factory inventory. At present, downstream stocking is affected by weakened demand, and there is a clear lack of emotion. Merchants are cautious in their operations, and their willingness to replenish inventory is weakened. They often choose to negotiate based on orders and do not lock in prices. Overall, it is expected that the price of bearing steel in the Hangzhou market will remain weak in the short term. As of press time, Zhongtian Steel's GCr15 Φ 40-140 is quoted at 4590 yuan/ton, and Daye Special Steel's GCr15 Φ 20-40 is quoted at 4870 yuan/ton.

The price of bearing steel in the Wuxi market is weak and consolidating, with average transactions. The spot market in Wuxi has more resources from Zhongtian Steel, Xingcheng Special Steel, and Benxi Iron and Steel, with most traders having inventory of around 1500 tons. In terms of the market, the demand in the off-season is generally average, and traders are cautious in their quotations. Market transactions are mainly driven by essential needs, and downstream stocking is affected by weakened demand, resulting in a slower procurement pace and a decrease in bulk orders. Overall, it is expected that the price of bearing steel in the Wuxi market will fluctuate and weaken in the short term. As of the time of writing, Zhongtian Steel's GCr15 Φ 40-140 is quoted at 4580 yuan/ton, and Xingcheng Special Steel's GCr15 Φ 31-90 is quoted at 5690 yuan/ton.

The price of bearing steel in Dalian market is temporarily stable, but the market demand is weak. In the Dalian market, Benxi Iron and Steel, Dongte Shares, and Jianlong Beiman have abundant sources of goods, with large-scale traders having inventory of around 3000 tons. This week's market feedback shows that downstream terminal purchases are cautious, the market trading atmosphere is weak, and transactions have weakened. Merchants are adopting an on-demand replenishment strategy. Considering that the current period is the traditional off-season and there is not much room for improvement in market demand in the short term, traders choose to mainly consume their previous inventory. Overall, it is expected that the price of bearing steel in Dalian will show a narrow range of fluctuations next week. Currently, Bengang Special Steel's GCr15 Φ 81-130 is priced at 4670 yuan/ton, Dongte Stock's GCr15 Φ 86-180 is priced at 4720 yuan/ton, and Jianlong Beiman's GCr15 Φ 30-75 is priced at 4670 yuan/ton.

The price of bearing steel in Luoyang market is running steadily, and merchants are showing a strong wait-and-see attitude. Recently, there has been ample supply of Jiyuan Steel, Daye Special Steel, and Hegang Stone Steel in the Luoyang market, with some traders holding around 1000 tons of inventory. Downstream terminal enterprises continue to make essential purchases, with weak market transactions at high levels, and many merchants adopt a cautious and wait-and-see attitude. Given the weak demand performance during the off-season and the weak support for spot market prices due to fluctuations in raw material prices, it is expected that the price of bearing steel in the Luoyang market will mainly remain stable next week, with narrow fluctuations as a supplement. As of the time of writing, Jiyuan Steel's GCr15 Φ 6.5-23 is quoted at 4770 yuan/ton, Daye Special Steel's GCr15 Φ 20-40 is quoted at 5000 yuan/ton, and Hegang Stone Steel's GCr15 Φ 131-180 is quoted at 4520 yuan/ton.

【Regarding steel mills】

From June 28th to July 5th, a total of one steel mill released price adjustment information, with a cumulative total of one price adjustment information. Next week, we should continue to pay attention to the impact of consumer demand and steel mill maintenance.

2、 Next week's outlook

This week, the market price of bearing steel has been consolidating, and businesses have continued to reduce inventory. At present, in the context of insufficient market demand, merchants are cautious in quoting prices and continue to operate inventory reduction. Most merchants negotiate prices based on orders without locking in prices, and terminal purchases are still cautious, resulting in a decrease in bulk orders. It is expected that the market price of bearing steel will fluctuate and weaken next week.