In the short term, the steel market will still be dominated by fluctuations, with relatively limited room for up and down fluctuations

Golden Ten Futures, June 13, following the "517" property market new policy, the real estate sector has spread new positive news. Yesterday, the central bank's affordable housing re-loan work promotion meeting proposed to increase the supply of affordable housing, help the guaranteed housing and the "whitelist" mechanism. And the central bank has set up a 300 billion yuan affordable housing re-loan to accelerate the destocking of the stock of commercial housing. It can be seen that under the strong promotion of the policy, the real estate destocking is expected to continue to accelerate in the second half of the year, which is good for market expectations. On the supply side, because steel mills still have a certain profit, the power to reduce production is insufficient, and it is difficult to see a sharp decline in output in the short term. At present, there are already some market steel products that have a more obvious accumulation, especially the pressure on the plate accumulation is relatively large. Overall, the current market is still in the game of "strong expectations" and "weak reality", and the overall upward and downward momentum is insufficient. Therefore, it is difficult for the steel market to reverse. In the short term, the steel market will still be dominated by fluctuations, with relatively limited room for up and down fluctuations.