Weekly Summary: 2024 China Bearing Steel Market Trend in First Week of November is Fluctuating and Weakening

Weekly Summary: 2024 China Bearing Steel Market Trend in First Week of November is Fluctuating and Weakening

1、 This week's review

【In terms of price】

This week, the price of bearing steel has been running weakly, with a GCr15 absolute price index of 5005 yuan/ton as of today.

【Overview of Major Markets】

The price of bearing steel in Liaocheng market is fluctuating and weakening, and merchants are operating cautiously. At present, the Liaocheng market has more spot bearing steel resources from steel mills such as Juneng and Jiyuan, and multiple traders maintain inventory of over 500 tons. At present, the release of market demand is not obvious, customers' willingness to replenish inventory is poor, and market prices are under pressure and falling with changes in demand. Merchants are cautious and observing the future market. In terms of inventory, social inventory continues to remain in a destocking state, with some resources being out of stock in small sizes. However, merchants have a low willingness to replenish inventory, ensuring that their capital chain chooses to transfer goods for transactions. 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 4300 yuan/ton, while Juneng Special Steel's GCr15 Φ 16-90 is priced at 4150 yuan/ton.

The price of bearing steel in the Hangzhou market has slightly decreased, with average transactions. The spot inventory in the Hangzhou market is slightly higher with the resources of Zhongtian Steel and Nanjing Steel, and most traders maintain a stock of around 500 tons. In the case of average demand performance, spot market prices have also slightly declined, and the phenomenon of internal competition among merchants in order to ship more goods has intensified. In terms of inventory, social inventory continues to be depleted, and some resource specifications are out of stock, prompting businesses to replenish their inventory slightly. Overall, it is expected that the price of bearing steel in the Hangzhou market will fluctuate narrowly in the short term. As of press time, Zhongtian Steel's GCr15 Φ 40-140 is quoted at 4350 yuan/ton, and Daye Special Steel's GCr15 Φ 20-40 is quoted at 4550 yuan/ton.

The price of bearing steel in the Wuxi market is running weakly, 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 800 tons. In terms of inventory, merchants made slight restocking at the end of the month, and the overall inventory is at a normal level. In terms of the market, downstream terminal enterprises continue to have rigid demand for procurement, and the market mentality is gradually weakening. Some merchants are seeking to cash out and ensure funds, and market quotations are starting to decline. Overall, it is expected that the price of bearing steel in the Wuxi market will continue to fluctuate narrowly in the short term. As of the time of writing, Zhongtian Steel's GCr15 Φ 40-140 is quoted at 4350 yuan/ton, and Xingcheng Special Steel's GCr15 Φ 31-90 is quoted at 5600 yuan/ton.

The price of bearing steel in Luoyang market is stable but gradually weakening, and there has been no significant improvement in transactions. 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 are cautious in their procurement and mostly maintain rigid demand. In order to promote transactions, merchants choose a "single negotiation" price, and the bargaining space continues to expand, resulting in a gradual narrowing of merchant profits. Considering that merchants have a low willingness to replenish inventory in order to reduce risks, it is expected that the price of bearing steel in Dalian will remain weakly stable next week. As of the time of writing, Jiyuan Steel's GCr15 Φ 6.5-23 is priced at 4550 yuan/ton, Daye Special Steel's GCr15 Φ 20-40 is priced at 4600 yuan/ton, and Hegang Stone Steel's GCr15 Φ 131-180 is priced at 4250 yuan/ton.

The price of bearing steel in Dalian market is running weakly and steadily, and merchants are cautious in their operations. 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. Downstream terminal procurement enthusiasm is weak, the market atmosphere is quiet, and transactions have not reached the expected level. In terms of emotions, due to limited room for improvement in the short term, businesses tend to adopt a wait-and-see attitude. Overall, it is expected that the price of bearing steel in the Luoyang market will remain stable next week. Overall, it is expected that the price of bearing steel in Dalian will fluctuate narrowly next week. Currently, Bengang Special Steel's GCr15 Φ 81-130 is priced at 4250 yuan/ton, Dongte Stock's GCr15 Φ 86-180 is priced at 4250 yuan/ton, and Jianlong Beiman's GCr15 Φ 30-75 is priced at 4300 yuan/ton.

【Regarding steel mills】

From November 1st to November 8th, no steel mills have released price adjustment information for 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 fluctuated and weakened. At present, there is no substantial improvement in the supply and demand sides of the market, and downstream terminal enterprises continue to have rigid demand procurement. The market mentality is gradually weakening, and some merchants have begun to cash out, resulting in a decline in prices. Overall, it is expected that the market price of bearing steel will fluctuate narrowly next week.