In the construction steel market, N80 oil casing prices are also difficult to change the downward trend, but the decline is significantly slower than before. Shanghai, Hangzhou and other markets that previously fell by more than 100 yuan per ton per week, the current decline generally narrowed to 10 to 60 yuan. The merchants' willingness to ship is very strong, but the market demand continues to be sluggish. After a long period of decline, the current domestic construction steel prices have been at a stage of low, the probability of further deep price decline is not very high. The overall weakness of the N80 oil casing market will not change, and miners will only be able to speculate through some short term fluctuations in the "subject matter", but it is difficult to sustain. According to the latest report of "Xiben New Main Line", in the domestic ore market, the price of iron ore concentrate in Hebei fell slightly, with a weekly drop of 20 yuan per ton. Some of the steel mills' ore "winter storage" basically ended, suspending the purchase, and the volume of transactions gradually decreased. Imported ore prices rose and then fell, with Platts 62% iron ore index currently at $134.5 per ton, up $1.25 a week. By the Australian hurricane and Brazil floods and other "short-term subject matter" of the hype, foreign ore quotes once rose significantly. But N80 oil casing plant response is mostly wait-and-see, after the market continued to rise in power is clearly insufficient.

I believe that the end of the year steel inventory for two consecutive weeks of a small rebound, does not represent a new round of replenishment cycle. At present, N80 oil casing is in the traditional demand off-season, downstream procurement continues to slow down, this period of time can be said to be the most difficult days for steel traders; and, as the market continues to be light, the market after the spring steel prices rebounded sharply also did not report much hope, steel traders winter storage will be quite low, but also does not exclude some markets have a small hoarding phenomenon. Therefore, the inventory rebound on the one hand may be affected by small-scale hoarding merchants, but to a large extent should be after a long period of de-stocking, N80 oil casing market passive replenishment behavior.

To sum up, during New Year's Day, Shagang sharply cut the factory price of building materials, on the one hand, in order to reduce the spread, to alleviate the serious phenomenon of market steel price inversion; on the other hand, it also indicates that the market is weak in the late market. At present, the steel market bearish news still dominates, with the Spring Festival gradually approaching, the downstream work rate will be greatly affected, steel demand will continue to be weak, coupled with steel traders on winter storage is also more cautious, therefore, it is expected that next week domestic steel prices will continue to be weak. However, taking into account the current steel prices have been at the low point of the year, N80 oil casing and then cut prices space is not large, therefore, steel prices to maintain a weak and stable trend may be larger.