Why are markets so cautious after the calm?

In may and has officially come to an end, the first week in June has weathered, but small make up hearing a word is that customers most, this week will fall as before, there is no denying the fact that on the market for many traders may leave a deep impression even can be said to be the shadow, but every now feel immediately comes out a little bit higher, but the futures also very fit,Afternoon opening and night always like the opposite jump, the circle of friends are also more lively than usual.

As for why there will be a big reversal of the market in May, we will not discuss for the time being, after all, it has been a long time, so what is the current situation in each region, we have a brief introduction to each region:

All regions of the country market summary

[Fujian] :From the aspects of steel mills, steel mills in the province of inventory for tired library, a total of 338000 tons of steel mill as statistical inventory on Wednesday in the province, steel production has no obvious change, shipment is mainly caused by weak steel tired library, is significantly influenced the recent rainy season, the downstream demand taking goods is not much, market speculative demand early have completed inventory, phase of the spiral plate of a red night upward on Friday,There are a few speculative demands to enter the market, but the overall shipment of the market has not improved significantly, and the bottom of the market price is rising slowly. The college entrance examination will be affected next week, some construction sites will stop operation, and there will be more rain weather, all of which will affect the release of demand to some extent, and the market transaction is difficult to improve significantly.

[Beijing-Tianjin-Tang Region] :Weaker market price stability in the adjustment, the spot market price is adjusted by the phase of the shape of the screw, and the market sentiment as the phase of the screw and the ups and downs, period of the uncertainty of the screw moves, also has created the market clinch a deal not too optimistic, the spot market price is stable is given priority to, with the influx of foreign sourcing, cause a shock to the local inventory, make originally the supply and demand change,However, the production limit reason, Tangshan inventory has been at a low level, the cost of the end of the market still support.

[Zhejiang] : steel prices up and down frequently, but the overall increase is greater than the decline, mainly affected by the futures fluctuations, futures up and down the spot market transaction, futures down transaction turned weak, according to statistics, from Monday to Thursday, Hangzhou 9 large shipments of 159,100 tons;6 companies in Ningbo shipped 37,300 tons;On the market, on Tuesday, rumors in the north of the environmental protection limit to relax caused futures to fall sharply, and later confirmed that there was no relaxation, this rumor of Xuzhou production limit in Jiangsu Province is not true;Demand, the market customer feedback caused by high temperature downstream demand to slow down, and the Meiyu weather is coming, demand may continue to weaken, the overall attitude is not optimistic!

[guangdong area] : because the downstream demand is limited, the market mentality is weak, the spot market dark atmosphere heavier, lead to the terminal with the more cautious, high temperature and heavy rain weather end user long time compression moderate, next week, the weather in guangzhou is still high temperature with a rainy day, have a larger impact on the customer site or superposition of outbreak, intermediate demand is also more cautious, tight supply and demand relations.

[Jiangsu] :Jiangsu building materials market price as a whole under disturbances in the policy level and industry news continuously present high repeated shocks, the fall last week, the price is not big, raw materials, ores strongest trend this week, rolling, so far as many as 13.5 billion precipitation funds, dalian iron ore futures market, the thread inventory change is change from season to season,Agents in fear side by the side pin, apparent demand significantly weakened from last week, and the early stage of the overdraft price hikes in the supply side cut expectations, the market after the return to the fundamentals more is in the end demand under the guidance of shock, as the market gradually after the removal of excessive speculation behavior, steel mills in the province also started to implement production overhaul plan,In addition, Xuzhou on the crude steel capacity meeting implementation requirements of the annual crude steel capacity can not exceed last year, June as the second half of the transition implementation node, the price will explore a new direction in the repair

[Jiangxi] : With the stabilization of the market, the market mentality is also in repair, the turnover recovered to the normal level of 16,000 tons per day, middlemen take goods and eat goods are also increasing.Pre-loss traders, also take advantage of the rebound high shipment, reduce losses.The agents in the cities and prefectures tried to reduce the inventory, but the transaction was not as good as expected, resulting in the shipment speed equal to the arrival speed of steel mills, and the actual inventory reduction was not obvious.With the decline of policy intervention, futures trend is relatively stable, and before the sharp rise and fall of the picture is completely different, the market is in a calm period.

Summary:Regional news emerge in endlessly, their production, crude steel production limit, yunnan is also limited electricity and maintenance and the impact of the rainy season, in fact, it is no wonder that your bosses to question, but one thing is for sure, now already is about to enter the off-season, so why we put aside the influence factors of the macroeconomic regulation and control, the season is in accordance with the normal operation scheme,High throw low suction, short-term operation, to ensure their own interests, often than in the unstable market period to bet to the safe and reliable, it can be seen that even if the price is calm, but our operation is still based on caution!