The spot market price of sanitary stainless steel tubes continues to rise under the expectation of a variety of policies

A large number of project construction needs more sanitary stainless steel pipe supply, and the market is also booming. Under the strong leadership of futures, the spot market price of sanitary stainless steel pipe has stopped falling and returned to rise. In addition, the PMI data in February exceeded expectations, the development of real estate, automobile, manufacturing and other industries has gradually warmed up, and the terminal demand has increased. Under the psychological effect of buying up and not buying down, the number of merchants replenishing the stock has increased, What is the price trend of sanitary cano de aço inoxidável in the later stage?

Influential factors of sanitary stainless steel pipe market

1. China’s property market is expected to rise in February

In February 2023, the rate of new house search in key cities nationwide rose 92% month-on-month. Among them, the rate of new house search in first-tier cities increased by 102.8% on a month-on-month basis, while the rate of new house search in Shanghai, Guangzhou and Shenzhen all doubled on a month-on-month basis. The demand for new houses in second-tier cities rose 91.5% month-on-month, and the demand for new houses in third-tier and fourth-tier key cities rose 86.4% month-on-month.

With the gradual implementation of a number of macro-favorable policies, the central bank’s loan interest rate for the first set of housing fell to a new low in recent years, reducing the financial pressure of home buyers, expanding the demand of the property market, and the real estate market turnover rose on a month-on-month basis. At the same time, under the guidance of the macro-favorable policies, the real estate funds were gradually in place, the project construction volume increased, the demand for sanitary stainless steel tubes slowly started, and the price trend of sanitary stainless steel tubes was favorable.

2. Ministry of Commerce: focus on restoring and expanding consumption

This year, we will actively introduce new policies and measures while implementing the policies already in place. We will support the healthy development of new forms and models of consumption and stimulate consumption vitality. We will continue to focus on the three key words of “international”, “consumption” e “center”, strengthen the functional positioning and characteristics of each city, promote the implementation of cultivation and construction plans in a project-based and list-based manner, optimize the consumption carrier and environment, lead the new trend and fashion of consumption, and play a demonstration and leading role in expanding and restoring consumption.

With the arrival of the new leader, the government departments will focus on restoring economic construction, strengthening consumption capacity and stimulating capital investment through various ways. In addition, the Ministry of Finance and the Central Bank will use more financial instruments to maintain sufficient liquidity of market funds, help enterprises recover vitality, expand production capacity, increase the demand for steel, and improve the price trend of sanitary stainless steel tubes.

3. The increase of social finance in February is expected to resume year-on-year growth

According to the results of the “C50 wind direction index” of Cailian News Agency in March, the median forecast of the new RMB loans in February by market institutions was 1.47 trillion yuan, higher than 1.23 trillion yuan in the same period of the previous year; In addition, the median forecast for the new increase of social finance is 2.49 trillion yuan, which is expected to resume the year-on-year increase; M2 growth rate may decrease slightly compared with January.

Credit rose strongly in January, with a new RMB loan of 4.9 trillion yuan, an increase of 922.7 billion yuan over the same period of the previous year, setting a new monthly increase since the record began in 2001. Market confidence has improved, capital investment has increased, and the domestic economy is expected to recover steadily. In addition to the implementation of a number of favorable policies of the government, the data of real estate, manufacturing and other industries have exceeded expectations. The supporting financing of superimposed infrastructure projects has continued to advance, and credit is expected to continue to maintain a large increase. Investment projects are gradually started, increasing the demand for steel, and improving the price trend of sanitary stainless steel pipes.

Price forecast of sanitary stainless steel pipe

The National People’s Congress and the National People’s Congress are about to be held, a number of macroeconomic policies are gradually implemented, and the economy continues to expand. As the weather warms, the construction rate of outdoor construction projects such as infrastructure and real estate gradually increases, the demand increases, and the terminal procurement volume increases. However, iron ore, coke and other cost-side support remained strong, steel mills rose, and merchants replenished stocks increased. At the same time, the loose monetary policy of the central bank is conducive to reducing the financing cost of enterprises and easing the imbalance between supply and demand in the sanitary stainless steel pipe industry. Under the expectation of a variety of policies, the spot market price of sanitary stainless steel pipe continues to rise, and it is expected that the price of sanitary stainless steel pipe will be stable and strong tomorrow.