Since late may, rebar spot prices appear to be on a decline.As of June 10, according to Lange steel cloud business platform, according to the monitoring data of ten key cities for the domestic tertiary rebar (Φ 25 mm) the average price is 3979 yuan/ton, is now below 4000 yuan RMB.Rebar futures price is not optimistic, as of June 10, the last rebar futures 1910 contract shock rebound, closed at 3,717 yuan, compared to May 21, the year's peak down 202 yuan.

Since June, the temperature continues to rise in the north and it is rainy in the south, which has a relatively big impact on the downstream purchasing demand.According to incomplete statistics, the number of major projects started in May was 1,500, with a total investment of about 1 trillion yuan.Due to the influence of seasonal factors, demand appears to a certain degree of reduction, the late steel price will play a certain inhibitory effect.

In terms of output, according to the latest data of China steel association, the average daily output of crude steel of key steel enterprises in the middle of may was 2.038 million tons, down by 0.78 million tons compared with the previous ten days, with a month-on-month decline of 0.38%.By the end of mid-may, the steel stock of key steel enterprises was 12.683 million tons, an increase of 22,500 tons compared with the end of the last 10 days, with a month-on-month increase of 1.81%.Crude steel daily output is still in a higher position, on the steel price formed a certain pressure.

In terms of environmental protection, on May 31, tangshan issued a notice on strengthening the control of air pollution prevention and control in June, but at present, only some areas, such as tangshan in hebei province, have limited production, and the spiral and other long material varieties have not been involved.

In addition, according to incomplete statistics, June shougang qian 'an, shanxi xintai, lian steel, anshan baode, chongqing iron and steel, fang da special steel, shougang jingtang, hebei jinxi and other more than 10 steel mills will carry out partial or full-line stop-maintenance, stop-production maintenance time in 10-18 days or so.With the implementation of steel mill production limit and stop maintenance, will directly affect the subsequent output, for steel prices will form a certain support.

At the same time, the price of raw materials changed the upward trend, appeared to weaken.Iron ore prices have risen sharply this year due to the collapse of a dam in vale and a hurricane in Australia.But since June, iron ore supply pressures have eased substantially.It is reported that iron ore since the end of April into the rapid rise trend, May 28 began to appear a correction, the decline of about 8%.As the price of raw materials fell, steel prices have also weakened support.

But the current social inventory is still in decline, as of June 10, 2019, according to Lange steel cloud business platform, according to the monitoring data of 29 key cities in China steel social inventory of 9.856 million tons, compared with March 1, 2019, 16.43 million tons of inventory high, after 13 weeks continues to decline, the cumulative reduces 6.574 million tons, decline reached 40%.Although the rate of inventory decline slowed down, but still in the decline channel, will not cause pressure on steel prices.

Then later steel price where to go?Wang guoqing, director of Lange steel research center, said that in June, many parts of southern China will enter the plum rain season, which will seriously affect the construction projects, and thus the demand for construction steel.At the same time, iron and steel production is still high release, steel social inventory will also appear to slow down or even pick up trend.In the later stage, the pressure on the relationship between supply and demand will increase to some extent, while the trend of sino-us trade friction escalation has not eased, and the market pessimism has increased. It is expected that the market will continue to shock and weaken in June.

Although the current steel price is weak, but for the late steel market trend also don't be too pessimistic.Lange steel economic research center chief analyst Chen kexin said that June, July steel market should be the first suppressed after the rise.With the gradual completion of price adjustment, steel market risk gradually released, after adjustment, steel market will continue to rise.

From Lange steel net