SMM Steel Morning Meeting: Policy Boost Continues; Hot-Rolled Coil Prices Forecasted to Rise This Week

Publicado: Oct 28, 2024 07:30
**SMM Steel Morning Meeting Minutes: Policy Stimulus Effects Persist; Hot-Rolled Coil Prices Expected to Strengthen This Week** Last week, the spot prices of hot-rolled coils exhibited an overall trend of volatile strengthening. On the demand side, the impact of policy stimulus persists. Over the weekend, news emerged that the reserve requirement ratio for large banks may be further reduced by 25-50 basis points in the coming months, stimulating speculative demand. However, due to the relatively high spot prices, end-users were cautious in purchasing, resulting in generally average transaction volumes in the first half of the week. Nevertheless, the overall transaction volume of hot-rolled coils for the entire week was decent. On the supply side, steel mills still enjoy good profits from hot-rolled production, coupled with a steady decline in social inventories across regions. The fundamentals of hot-rolled coils show minimal contradictions. Even if the inventory at hot-rolled coil plants increases slightly...

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**SMM Steel Morning Meeting Minutes: Policy Stimulus Effects Persist; - Shanghai Metals Market (SMM)