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The lead market will fluctuate and run for the better
2022-07-14

Recently, the purchase price of lead gates has been continuously increased, and the amplitude of adjustment has increased. It is understood that the reasons for the sharp increase in the purchase price of scrap steel this time are as follows: first, the steel mills' scrap steel inventory is not high since this year, which is to attract resources; The scrap steel market has been doing well recently. At present, the overall resource transaction volume in the domestic scrap steel market has increased, the mentality of manufacturers has steadily improved, and the enthusiasm for operation has increased. The lead market will fluctuate and run for the better. Recently, the performance of the domestic iron ore market has been quite subtle. First, last night, the iron ore Platts index remained stable at a flat level. The stable report in the current market environment means that the market will change. The main contract of ore futures is almost at the daily limit, which makes the market go up again while it is quiet. Judging from the performance of the spot market, there is not much volume in spot transactions at the port today, and the transaction price has not changed significantly, while the price of resources traded on the spot platform has risen significantly. From the perspective of the iron ore financial derivatives market, the SGX swap price has risen, and the main contract of Lian Mine closed at 377 yuan, a sharp increase of 3.29%. Judging from the overall performance of the futures and spot markets, in the short term, the main iron ore contracts of DCE are affected by the delivery month, and the atmosphere is quite strong, and the spot market is not too weak as predicted in the previous period. Comprehensive factor analysis, the iron ore market still has a slight rising atmosphere in the short term. Due to the high operating rate in the north, the price competition among manufacturers is particularly fierce, and the constant price reductions have made it possible to reap the benefits of the fisherman. The price drop of northern steel mills is also used as a basis for price adjustment by steel mills in east China and southern China, and the different production costs in the north and south make it difficult for many small and medium-sized manufacturers to bear the pressure and directly enter losses. It is impossible to suddenly stop production in China, so it has to bear the pressure of greater losses and reluctantly produce. It is expected that the domestic silicon-manganese market will continue to run in a weak trend in the near future.

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