Weekly Summary: 2024 China Bearing Steel Market Trend in First Week of November is Running weakly and steadily

Weekly Summary: 2024 China Bearing Steel Market Trend in Second Week of November is Running weakly and steadily

1、 This week's review

【In terms of price】

This week, the price of bearing steel has been running weakly and steadily. As of today, the absolute price index of GCr15 is 5005 yuan/ton.

【Overview of Major Markets】

The price of bearing steel in Liaocheng market has slightly decreased, and merchants are cautious in their operations. 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, the speed of shipment is slowing down, and market prices are under pressure and falling according to changes in demand. Businesses are cautious and observing the future market, believing that it will take time for demand to improve. 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, so in order to ensure the capital chain, they choose 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 4100 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 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 also slightly decline. In order to ship more, merchants use loose quotes to promote transactions, and downstream stable procurement leads to fewer new orders in the market. 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 4340 yuan/ton, and Daye Special Steel's GCr15 Φ 20-40 is quoted at 4530 yuan/ton.

The price of bearing steel in the Wuxi market is running weakly, and the willingness to replenish inventory is weak. 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 the market, downstream terminal enterprises continue to have rigid demand procurement, with fewer new orders in the market. Merchants tend to be cautious, and some merchants have started to lower their prices in order to cash out and ensure funds. Entering the off-season, merchants have made small restocking, and social inventory is at a normal level. Overall, it is expected that the price of bearing steel in the Wuxi market will remain stable and weaken in the short term. As of the time of writing, Zhongtian Steel's GCr15 Φ 40-140 is quoted at 4340 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 running weakly and steadily, and there is a clear wait-and-see attitude among merchants. 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, resulting in reduced market activity and weak transaction performance. In order to circulate funds, most merchants choose a "single negotiation" price, and the bargaining space continues to expand, leading to further narrowing of merchant profits. Considering the recent small changes in raw material costs, it is expected that the price of bearing steel in Dalian will remain 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 currently stable, and merchants are relatively 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. As the weather gradually cools down, downstream terminal procurement is insufficient, the market atmosphere is cold, and transactions have not reached the expected level. In terms of emotions, considering that the temperature will become colder in the later stage and demand is unlikely to improve 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 continue to operate weakly and steadily 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 8th to November 15th, 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 remained stable but gradually weakened. At present, there is no sign of improvement in the market supply and demand fundamentals, and low-priced resources are flooding in. The mentality of merchants is gradually weakening, and some merchants are seeking to cash out to ensure their cash flow, resulting in a slight decline in prices. Overall, it is expected that the market price of bearing steel will continue to operate weakly and steadily next week.