It is expected that seamless steel tube prices will remain in a weak fluctuating trend.

Seamless steel tubes: As of today's opening information, the market trend on the 3rd is generally weak and stable, with private capital in the seamless steel tube industry indicating a downward trend. On the capital front: According to the author's understanding of the market, there is a phenomenon of partial specification shortages in recent days, with most large merchants lacking complete specifications, mainly due to shortages in thick specifications. In terms of prices: Today's prices continue to decline, with the author believing that the primary reason is that the previous increase did not meet the real market demand, so after a period of weak demand, merchants can only lower prices to promote transactions. In the short term, as prices continue to fall and local market transactions weaken, merchants' sentiment has once again turned cautious, with current inventory still at a relatively high level, so short-term agents still focus on selling. Pangang's terminal order volume in July is acceptable, so in addition to the regular orders of agents, there will be no additional capital deliveries to the market, which may alleviate the sales pressure of agents. In the short term, local prices will continue to maintain a weak consolidation trend. With no improvement in demand conditions, local prices have started to fall, so the concern of seamless steel tube merchants is evident, indicating that they will continue to actively sell and offer price discounts based on volume. Therefore, the short-term market price in Chengdu will maintain a weak consolidation trend. Today's opening, futures continued to fall, and market confidence is difficult to improve. Currently, prices in the Hangzhou area have exceeded 100 yuan/ton compared to Shanghai, with merchants concerned about the sudden collapse of later support factors such as insufficient supply. In terms of capital, some new goods have arrived at the port and are being stored; there is about 1600 tons of capital补充 in Rizhao, currently with a relatively complete specification; early in the month, shipments were fewer, and market补充 was limited; due to maintenance and other reasons, production orders have not yet begun to be accepted, and steel is expected to resume normal supply around the 10th, so local capital补充 is limited in the short term. In terms of the market, as raw material prices have fallen recently, the production costs of seamless steel tubes continue to decline, but given that the real demand release of downstream industries is yet to be verified, the upstream industries' willingness to maintain prices in the early stage has not been accepted by downstream enterprises. Today's market quotations have slightly followed the decline, with the overall market showing weak delivery conditions. Merchants report that the current market supply and demand relationship is relatively balanced, which has a certain support for steel prices, but market demand is not as strong as in previous years, and the market is mostly supported by small and old projects such as fire protection channel reconstruction. Merchants still hold a cautious outlook on the future. Moreover, the stimulus from macro policies on the construction of building materials and infrastructure steel is still awaiting observation for demand stimulation. In terms of inventory, the current market short-term merchant inventory is relatively reasonable, with large local market capital at around 2000 tons, and merchants are currently more cautious about selling, buying and selling as they go. Considering that steel prices have been generally weak in recent days, it is difficult to expect significant positive stimulus in the short term, and it is expected that seamless steel tube prices will maintain a weak fluctuating trend.

Liaocheng Steel Pipe