Relevant market experts said that after the festival, the price of screw steel and iron ore fell first and then rose. At present, the disk price of the two is almost the same as before the festival, and the spot price is slightly lower than before the festival, indicating that the absolute level of the price is not high. In addition, there is no definite correlation between inventory and price. There has always been a situation of "buying up but not buying down" in the spot market. The rising price often arouses the enthusiasm of downstream purchasing, while the falling price leads to the aggravation of downstream wait-and-see psychology. In the recent spot market, trading volume has been rising, and there is no problem that price rise is not conducive to inventory clearing.
"For enterprises, the current black market situation provides enterprises with a basis trading opportunity, with very low marginal risk. In addition, this structured trading opportunity adds additional liquidity to the market, accelerating the transfer of inventory between factories, traders and downstream. " In the period of low profit and low inventory operation, the steel plant will fall into a passive situation in the game with traders and mines. The futures tools of raw materials and finished products will undoubtedly enhance the initiative of the steel plant to avoid risks and lock in profits. Of course, due to the gap in risk preference, system requirements, professional ability and other aspects of enterprises, it is not ruled out that individual enterprises may move from hedging to speculation, but on the whole, the effect of enterprises using futures to hedge is good.