The past two months, China's economic work the steady growth for the introduction of stable exports, increase investment, expand domestic demand and economic stimulus policies. To the current economic policy continues to improve, the pulling effect on China's economy has not fully reflected in the ongoing economic data show that the decline in economic growth is still the state, domestic steel prices at the low state, and continued weak market , the demand insufficient to offer support.
This is only stable export policies bear fruit, the export situation has improved in May, the import and export value of $ 343.58 billion, an increase of 14.1%. Which exports $ 181.14 billion, up 15.3 percent; imports 162.44 billion U.S. dollars, an increase of 12.7%. May imports and exports both hit record highs in June will continue the good situation. Since last year, stable export policy, the implementation of the policy earlier one of the reasons why the effect is relatively early apparent. Present, increase investment, expand domestic demand to enter the implementation phase, and the latter are still major projects have started, the domestic demand stimulus will be introduced. Deposit reserve ratio by reduction in interest rates of deposits and loans, reverse repo, the implementation of the policy of local bonds to ensure the smooth implementation of major projects and social liquidity turned loose.
In addition, international monetary policy and domestic policy towards the same direction. Under the pressure of the international economic recovery is weak and the European debt crisis, the national monetary policy to maintain a relatively relaxed state. If we say: the national economic policy to the left to go, then economic growth is still the right line. The downward trend of world economy and economic policies to slow somewhat. The debt crisis in Europe is still a serious impact on the recovery of the world economy, Greece's new government "fell ill" significant increase in the debt issuance costs in Spain, the bank's credit rating has been lowered and the negative news has cast a shadow for the settlement of the debt crisis in Europe. In addition, the depressed state of our economy, but also to the world economy led to unease. Be seen in the short-term domestic and international economic environment, difficult to calm.
The continued downturn in the economic situation led to the continuous fall in the price of bulk business, especially crude oil prices have fallen below $ 80 / barrel. Domestic refined oil prices will usher in the third reduction. Iron ore, coke price drop. In the digestion of high-priced ore, coke, raw material costs significantly less than the steel price policy support. This is also the steel mills general decline in July, prices of one of the reasons.
From the analysis of the current economic situation, the economic data released in June, July, the deposit reserve ratio again lowered expectations significantly enhanced. With the steady growth of economic policy implementation is expected in the second quarter domestic economic growth is expected to hit the bottom. Subject to limited new round of economic stimulus efforts, the effect of diminishing the effect of lag of impact, the late economic growth is difficult to see a significant pickup. Therefore, the significant excess capacity of the steel industry is still facing tremendous pressure. The market entered the traditional steel demand in the off-season, rainy and high temperature will affect the progress of the outdoor works, is not conducive to the generation of effective demand. In addition, the decline of prices of raw materials, steel mills to control the production of enthusiasm will diminish, resources will be sustained in an oversupply status.
Overall, domestic and international economic policies will continue to tend to loose and difficult to see significant improvement in the domestic economic situation in July. The domestic steel prices will continue to be low weak run. Policy to the left, steel prices right is hard to change the situation.
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