The price of construction steel in Tianjin rose this week. Late last week, the Federal Reserve turned to pigeons, cut interest rates and expected to rise again, as well as Vale cut sales forecast news, the futures market rebounded completely late last week, which led to a rise in spot market sentiment. Then the weekend market welcomed two major advantages. First, the PMI index of manufacturing industry rebounded sharply in March, then the environmental protection policy became tighter again, and the market sentiment continued to be stirred up. On the first two days of the week, Tianjin construction steel merchants continued to raise their quotations, and the price of Tianjin construction steel market rose. In mid-week, although Qingming Holiday is approaching and the market is cautious after the price rebound in the past few days, some businesses continue to pull up their quotations due to the acceptable turnover. Market quotations are slightly different, and the overall market prices continue to rise.

The market pessimism has been temporarily alleviated by the emergence of positive and intensive markets to help the pre-festival market. Since late last week, the market has been booming in all respects. With the Federal Reserve turning to the dove, domestic interest rate cuts are expected to rise again. The front page of the Securities Daily published a statement from an organizations top executives that the fastest reduction may take place next month. The stock market surged and bullish sentiment returned. On March 28, Vale officially announced a cut in sales estimates, which led to a 75 million tonne reduction in iron ore sales in 2019 and an optimistic 50 million tonnes reduction in iron ore sales due to a decline in dam-break production. The news led to a full rebound in the black sector. Subsequently, environmental protection became more stringent. Lu Guixin, inspector of the Raw Materials Department of the Ministry of Industry and Information Technology, said on the 30th that in 2019, a spot check on the achievements of consolidating and resolving excess capacity will be organized in key provinces where irregularities and violations of iron and steel production capacity are frequently occurring, so as to maintain a high pressure on irregularities and violations of iron and steel production capacity. On the same day, the Tangshan Municipal Peoples Government issued the "Implementation Plan of Enhanced Control Measures for Air Pollution Prevention and Control in April". During the period from April 1 to April 30, sintering stops at 50% in some districts and counties, requiring all sintering machines and shaft furnaces manufactured to pass the inspection and acceptance of ultra-low emission transformation and stably reach the ultra-low emission limit. On March 31, Chinas National Bureau of Statistics released the manufacturing PMI index in March. After three consecutive months of below the critical point (50%), the purchasing manager index (PMI) of Chinas manufacturing industry rebounded sharply in March and returned to the expansion range. Many positive factors stimulate the recent steel markets depression, market sentiment has been mobilized again, and pessimism has temporarily eased.

To sum up, this week, a wave of Xiaoyangchun appeared in Tianjin construction steel market under the effect of multi-profitable. For the post-festival market, the influence of the good news before the festival will also weaken after the festival, and the market will still return to the fundamentals. At present, the basic aspect still needs to look at the situation of steel plants resumption of production, and the production rebound will become an indisputable fact, the market will eventually usher in a storm of supply and demand game. However, the storm will not occur quickly in a short time, and the overall market will be in a wait-and-see state for the time being after the festival. Therefore, it is expected that the Tianjin construction steel market will have a slight shock and wait-and-see operation next week.

In terms of price, as of noon on April 4, the price of HPB300 6.5-10mm high-speed line produced by Hebei Iron and Steel Group in Tianjin market was 4620-4750 yuan, 40-70 yuan higher than last weeks price; the price of grade 18-25mm anti-seismic threaded steel produced by Hebei Iron and Steel Group was 4000-4070 yuan higher than last weeks price, 70-100 yuan higher than last weeks price; and the price of grade III screw was 4120 yuan, 50 yuan higher than last weeks price.