With the high temperature and rainy weather further restricting the downstream demand for steel, and the Federal Reserve raising interest rates more than expected, the financial market has experienced violent turmoil since last weekend, and the price of black products has plunged sharply.
This Monday, the average price of domestic rebar fell by another 200 yuan/ton. Since last Friday, the cumulative decline in some markets has reached 350-400 yuan/ton. The prices of raw materials such as iron ore, scrap steel, and coke have also fallen rapidly., the decline is around 10%. In this situation, can the graphite electrode hold up?
From the perspective of cost: the international oil price has also fallen sharply recently, but the gap between supply and demand is still there. It is expected that the oil price will still fluctuate at a high level soon, and the prices of raw materials such as petroleum coke and needle coke will not fluctuate too much. The bottom support of graphite electrode prices is still more obvious.
From the perspective of demand: recently, the prices of steel and scrap steel have basically fallen at the same time, and the decline has been equal. Therefore, the loss of electric furnace steel mills has not expanded significantly. The resumption plan of individual leading steel mills in Jiangsu remains unchanged in late June; although many long-process steel mills have Profits have turned into losses, but there are still marginal contributions. In the environment where various places are striving to ensure economic stability, some steel mills (such as Jiangsu and Shandong) admitted that they can only continue to maintain production, which has little impact on the demand for graphite electrodes.
Overall: the recent domestic graphite electrode prices will still be dominated by small fluctuations.
Search Blog
