Weekly Summary: 2024 China Bearing Steel Market Trend in Third Week of July Is Expected to Fluctuate Downward

Weekly Summary: 2024 China Bearing Steel Market Trend in Third Week of July Is Expected to Fluctuate Downward

1、 This week's review

【In terms of price】

This week, the prices of bearing steel have all fallen, and as of today, the absolute price index of GCr15 is 5054.5 yuan/ton.

【Overview of Major Markets】

The price of bearing steel in Liaocheng market has fluctuated downward, resulting in poor transactions. At present, the Liaocheng market has more spot bearing steel resources from steel mills such as Juneng and Qinggang, and multiple traders maintain inventory of over 800 tons. At present, the market demand is average, and the terminal continues to make essential purchases. Some low-priced resources have flooded in, and spot prices have slightly decreased. In order to promote transactions, traders often choose to sell at low prices. Overall, it is expected that the price of bearing steel in the Liaocheng market will remain weak in the short term. Currently, Jiyuan Steel's GCr15 Φ 30-75 is priced at 4580 yuan/ton, while Juneng Special Steel's GCr15 Φ 16-90 is priced at 4300 yuan/ton.

The price of bearing steel in the Hangzhou market is running weakly, and the pace of downstream procurement is slowing down. 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. Since the beginning of the off-season, downstream stocking has been affected by weakened demand, resulting in a slower procurement pace and pessimistic business sentiment. Sales pressure has increased, and spot prices have followed the demand situation and are quoted on a per order basis. 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 fluctuates narrowly, 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 1000 tons. At present, the terminal's enthusiasm for receiving goods is not high, and the market's bulk orders have decreased. Coupled with the abundant resources of different steel mills, there is fierce competition for spot goods, and traders are cautious in quoting prices, often negotiating prices on a single basis. Overall, it is expected that the price of bearing steel in the Wuxi market will remain weakly stable 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 5670 yuan/ton.

The price of bearing steel in the Dalian market has slightly fallen, with weak transaction performance. 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 weak purchasing enthusiasm among downstream terminals, slow release of market demand, and lower than expected transaction performance. In terms of inventory, in order to reduce risks, merchants mainly consume pre production inventory, supplemented by small batch shortage of specifications. Overall, it is expected that the price of bearing steel in Dalian will fluctuate and weaken next week. Currently, Bengang Special Steel's GCr15 Φ 81-130 is priced at 4600 yuan/ton, Dongte Stock's GCr15 Φ 86-180 is priced at 4650 yuan/ton, and Jianlong Beiman's GCr15 Φ 30-75 is priced at 4600 yuan/ton.

The price of bearing steel in Luoyang market is fluctuating and weakening, and merchants are cautious in replenishing inventory. 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 have insufficient procurement efforts, market demand improvement is not significant, and high-level transaction performance is not smooth. In terms of mentality, given the current off-season, many merchants are adopting a wait-and-see attitude. Considering that there is not much room for improvement in the short term, it is expected that the price of bearing steel in the Luoyang market will fluctuate narrowly next week. As of the time of writing, Jiyuan Steel's GCr15 Φ 6.5-23 is quoted at 4750 yuan/ton, Daye Special Steel's GCr15 Φ 20-40 is quoted at 4980 yuan/ton, and Hegang Stone Steel's GCr15 Φ 131-180 is quoted at 4500 yuan/ton.

【Regarding steel mills】

From July 12th to July 19th, no steel mills have released any price adjustment information in this period. We should continue to pay attention to the impact of consumer demand and steel mill maintenance next week.

2、 Next week's outlook

This week, the market price of bearing steel has fluctuated downward, with fewer bulk orders in the market. In order to promote transactions, the market quotation is cautious, and negotiations are mostly based on orders. It is expected that the market price of bearing steel will operate weakly and steadily next week.