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According to CISA statistics, large and medium-sized steel enterprises in the first half profit of 2.385 billion yuan, down 96%, the profit margin of only 0.13%. 6 month loss of 118 million yuan in monthly sales profit rate of -0.04%. If the net investment income, the actual loss of $ 1.3 billion in the first half of the iron and steel industry. Average decline of the domestic steel prices in July more than 300 yuan / ton, and after by a slump in domestic steel prices have in the past two and a half years the lowest level, traders profit margins repeated reductions, making the delivery and the enthusiasm is not high, steel mills to maintain normal operation is forced down the factory price, the late steel down proportion is expected to expand.

22 bar market supply decreased to enlarge and steel repair and cut to let the market panic eased, according to the survey, as of August 7, a total of 55 blast furnace shutdown maintenance, is expected to affect the production of 3.065 million tons; wood line maintenance, is expected to affect the production of 572,000 tons; However, the negative factors still dominant in the past five steel PMI in July to its lowest level since; State Council inspection teams went to the provincial and municipal checks real estate control policies are implemented, the property market deregulation is still hopeless at the same time half of traders turn to consider the funds withdrawn from circulation, so late August vulnerable market basically has been set, it is recommended that traders will continue to reduce the inventory risk-based.