8 22 to 29, surprisingly, the domestic steel prices fell 7 weeks straight.
Here, Aug. 25, as the domestic steel pricing “wind vane” of Baosteel, up three times in a row this year after ex-factory price of steel, for the first time down the prices of some products.
Operation in Shanghai, building materials, “often to the builder’s Run” in Chen Yunguang said, “in June, I felt from the real estate market, steel prices will soon fall.”
Between the iron and steel enterprises and construction sites, the steel traders have found the “survival law”: he was concerned that things are not “1:01 in the price adjustment,” but “national leader’s speech, actions, deposits reserve ratio adjustment, the trend of international political economy. “
Plunge 6 months, the higher a year in a row, the board price per ton more than 7400 yuan from the high prices began to fall. Since then, the decline trend continued to increase, until late August, close to 6,000 yuan.
“Particularly early in August, 15 days less than the average price fallen by more than 800.” Li Nan said he runs a steel trading company Shanghai, from a Proxy This money to buy stock, the main customers of electric companies the Yangtze River Delta region. As a small trader, he was more chill than the others, “only quick throw, throw faster, thanks to the less.”
And in August, he did not buy any spot. “If this time orders will be loss badly, losing everything.”
“We replaced the procurement market.” In order to maintain customer relations, Li Nan of the company through market purchases, in order to ensure supply. , “Before the call when the ship today, tomorrow pricing; now bearish, then tomorrow, today, shipping pricing.”
Those dealing directly with the steel traders, and are not easy.
Mr Cheung operating companies in Shanghai is already a medium-sized steel city, as its original, like Lee South, mainly from purchasing agents, and then sold to downstream manufacturers (jargon called “moving bricks”). In 2008, as some gains in the bank financing, Mr Cheung turn directly to the upstream steel mill order to earn one point for the difference.
7 months, his first purchase from Maanshan Iron & Steel. Order directly from the steel mill, the general need to pay the price, “If you book the cargo of 1,000 tons, amounting to 6 million or so, you need to pay more money to more than 700 million.”
Said Mr Cheung told reporters: “We signed the agreement and Maanshan Iron & Steel, Maanshan Iron & Steel scheduled in July to a total of 2,000 million board”, however, after a row over a year, steel prices rose a sudden drop in “in August when prices fell the most powerful, every day is 50,000, 50,000 and fell.”
Game “Prices when all are too proud, was feeding the night play mahjong or how to get happy”. Contrast the good old days, said Li Nan, now circle the people are unhappy with how Paohuo. He often joked to his friends: “another night Kuidiao a BMW, right?”
But still want traders to increase steel orders. Upside down is not uncommon for the price of steel ex-factory price “or even below production cost prices are not unusual.” In the face of the downstream industry downturn, traders do not order to be at least one of wait and see mood is very strong.
Mr Cheung said: “We are scheduled in July Cold plate The price is about 7,200 yuan a ton in the galvanized sheet is about 7500 yuan. To August, prices fell to 6200 so cold plate, galvanized sheet also dropped to 6,500 yuan, the loss is very heavy. Although, Ma decreases by about 30% of orders are given subsidies to business, but for us it is utterly inadequate. ”
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