Maintaining price increase for a few days, the building material market began to run weakly. Here we will analyze the decrease extent of price .
Supply: June and July are the traditional overhaul seasons. In first half year, inspired by high profits, steel plants conducted full production or even overload production. More and more steel plants began to overhaul units, leading to supply decrease in building resources.
Raw material: Billet price did not fall greatly mainly because steel plants held prices firm due to low inventory level of billet. The market trading will become gloomy this week. It is predicted that billet price may run weakly.
According to above market analysis, CAMELSTEEL thinks the building material market is in slack season and transaction is not optimistic. Although steel plants rise prices, middlemen and downstream plants are reluctant to accept the price. Thus the price may decrease slightly in a short term. Yet, the falling extent is limited. On that account, building material price will not change greatly in the first ten days of July.