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The social inventory of 40Cr structural steel decreased again
With the weakening of flood season in southern China, steel demand has recovered, no exception for 40Cr structural steel. After six weeks of continuous rise in steel social inventory, the social stock of steel decreased again in early August driven by building materials. According to the monitoring data, as of August 7, 2020, the social inventory of 29 key cities was 13.79 million tons, down 1.2% from the previous week; among them, the social inventory of building materials was 9.09 million tons, down 2.2% from the previous week; the social inventory of 40Cr structural steel and so on steel plates was 471000 tons, up 0.9% from the previous week.
At present, the social inventory of 40Cr structural steel and so on steel materials has entered the decline channel again. Compared with the same period last year, the inventory of building materials is still showing a significant growth trend, and the market inventory pressure is still relatively large. The overall social inventory of steel increased by 19.0% compared with the same period last year, of which, the social warehouse of building materials increased by 29.0%, and the social warehouse of 40Cr structural steel and so on steel plates increased by 3.5%. In the process of large-scale release of current production, we still need to pay attention to the degree of demand release in the later stage, and be alert to the risk of inventory rebound caused by the demand release less than expected.