CISA: by the end of mid January, the steel inventory of key steel enterprises

According to the statistics of China Iron and Steel Industry Association, in the middle of January 2020, the average daily output of crude steel of key steel enterprises was 1974700 tons, an increase of 6900 tons or 0.35% on a ten day on month basis. By the end of mid January 2020, the steel inventory of key iron and steel enterprises was 10.8028 million tons, an increase of 30600 tons on a ten day on month basis, an increase of 2.86%. It is found that last winter, under the influence of "warm winter" and capital construction, the steel market showed a "not light in the off-season" market, with strong demand in the south, high enthusiasm for steel production, and continuous decline in inventory. Near the end of the year, affected by the seasonality, downstream demand gradually weakened, and spot market shipments slowed down. Although the steel plant has introduced some winter storage policies in succession, the enthusiasm of merchants for winter storage is not high, and the steel plant shows signs of accumulating inventory. The inventory rose by 10.17% in ten days on month in the first ten days of January, and then continued to rise by 2.86% in the middle of January. By late January, early February, affected by the outbreak of the new coronavirus, the restrictions on local businesses were tightened, and the Spring Festival holidays were prolonged. The downstream demand was difficult to open, and steel stocks were expected to further accumulate.