Today, the most-traded HRC futures first rose and then fell, closing at 3210, up 0.09%. In the spot market, intraday quotes remained stable, with an overall improvement in trading performance. In terms of supply, this week's HRC production was 3.2452 million mt, down 14,200 mt WoW. The short-term supply pressure remained low, with a slight decrease in the impact from subsequent maintenance, but the recovery pace was slow. In terms of demand, end-use demand remained resilient in the short term, and the inventory in major cities continued to decline. This week, the total SMM HRC inventory was 4.187 million mt, down 222,300 mt WoW. On the cost side, pig iron production is expected to decrease but will fluctuate at highs, with cost support remaining firm for now. In summary, HRC will continue to be in a de-stocking phase in the short term, but the upward driving force is still insufficient. The most-traded HRC futures contract may fluctuate rangebound at the current level in the short term, and the strategy of shorting on rallies remains unchanged.

[SMM Daily Coke Market Briefing] In terms of supply, coal mines continue to offer concessions to restore coke producers' profits. Most coke producers are maintaining stable production, but shipments are facing certain obstacles, leading to a slight accumulation of their own coke inventory and an increase in sales pressure. On the demand side, despite moderate steel mill profits, most steel mills currently have medium-to-high coke inventory levels, resulting in low enthusiasm for coke procurement. Instead, their desire to bargain down coke prices is gradually increasing. In summary, the supply-demand imbalance in the coke market has slightly accumulated, and cost support has weakened. Consequently, coke prices may continue to face downward pressure, with expectations for a second round of price reductions.

In summary, influenced by the low arrivals from mainstream steel mills, the supply pressure in Lecong will remain low in the short term. Meanwhile, demand still shows resilience in the short term, and the off-season effect is not significant. Therefore, SMM predicts that under the pattern of weak supply and stable demand, Lecong's HRC inventory will continue to decline, and spot prices will remain relatively firm. 

[SMM Analysis] As the off-season approaches, will the inventory drawdown in Lecong continue? Overall, due to the low arrival volumes from mainstream steel mills, the supply pressure in Lecong will remain low in the subsequent period. Meanwhile, demand remains resilient in the short term, and the off-season effect is not yet apparent. Therefore, SMM predicts that under the pattern of weak supply and stable demand, the inventory drawdown of HRC in Lecong will continue, and the spot price will remain relatively firm...

[SMM Daily Commentary on Coke and Coal] In terms of supply, most coking enterprises still have certain profits, maintaining stable production. However, the shipment of some coking enterprises has been hindered, leading to a slight accumulation of coke inventory and an increase in supply pressure. Demand side, the finished steel market is gradually entering the off-season, with a slight decline in production enthusiasm. Moreover, the coke inventory of most steel mills is currently at a medium to high level, so they are cautious in purchasing and their desire to bargain down coke prices is gradually increasing. In summary, the supply-demand imbalance of coke has slightly accumulated, and cost support has weakened. In the short term, coke prices are also expected to continue to face downward pressure, with the anticipation of a second round of price reductions.