SMM HRC Daily: Weak Sentiment, Poor Transactions; Prices Expected to Decline Short-Term

Publicado: Nov 27, 2024 17:13
[SMM HRC Daily Review: Insufficient Upward Momentum, HRC Transactions Remain Poor] Today, HRC futures first declined and then rose, with the most-traded contract 2501 closing at 3,473, down 0.06%. Market trading sentiment was relatively cold, as there was no external stimulus, end-use sectors continued to purchase less, and HRC transactions remained poor. In terms of news, recently, Trump pointed out on social media that an additional 10% tariff would be imposed on Chinese imports based on the current tariffs, and a 25% tariff would be imposed on imports from Mexico and Canada. The 10% is lower than the previous expectation of 60%, making the news temporarily a disguised positive. Cost side, the fundamentals of iron ore continued to weaken, and the contradictions in the fundamentals of coke were also gradually accumulating, weakening cost support. Fundamentally, the market is in a weak and stable balance, with insufficient momentum for both upward and downward changes. According to the regional inventory data published by SMM, most cities continued the destocking trend. Overall, HRC prices are expected to fluctuate downward in the short term.

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