- The Fed keeps benchmark interest rate unchanged at 4.25%-4.50%, marking the fourth decision to hold rates steady since January. The Fed's dot plot indicates two rate cuts are expected in 2025, followed by 25 basis point cuts each in 2026 and 2027.
- 2025 Lujiazui Forum held in Shanghai; PBOC, National Financial Regulatory Administration (NFRA), CSRC, and SAFE announced multiple financial measures to support high-level opening-up:
(1) PBOC will launch 8 policy measures to support Shanghai's international financial center construction, including establishing a Digital RMB International Operation Center and "pioneering trials" for innovative structural monetary policy tools;
(2) NFRA will support foreign institutions in participating in more financial business pilots;
(3) CSRC will establish a Sci-Tech Innovation Growth Board layer on the STAR Market and introduce 6 more inclusive and adaptive reform measures;
(4) SAFE will implement nationwide policies to support research institutions in attracting/utilizing foreign capital and expanding cross-border financing facilitation for tech companies.
- This week, the average billet cost including tax at mainstream Tangshan sample steel mills was 2,810 yuan/ton, down 22 yuan/ton week-on-week. Compared with the June 18th ordinary billet ex-factory price of 2,910 yuan/ton, mills averaged a profit of 100 yuan/ton.
- Relevant national authorities stated that 162 billion yuan of the 300 billion yuan consumer goods trade-in support funds has been allocated, with the remaining funds to be disbursed in an orderly manner. Authorities are guiding localities to use "national subsidy" funds smoothly to maximize policy effectiveness.
- National Flood Control Headquarters initiated a Level IV flood emergency response for Anhui, Hubei, Hunan, Chongqing, and Guizhou on June 18th, dispatching 3 task forces to key areas to assist flood control and disaster relief.
- U.S. Treasury data shows China held $757 billion in U.S. Treasuries in April, down from $765 billion in March; Japan held $1.135 trillion, up from $1.131 trillion in March.
- U.S. initial jobless claims for the last week were 245,000, matching estimates and down from the previous 248,000.
- On June 18th, main port iron ore trading volume was 1.029 million tons, up 3.3% day-on-day; building materials trading volume at 237 mainstream traders was 96,700 tons, up 4.6% day-on-day.
- This week, operating rate at 110 national coal washing plants was 61.34%, up 3.95 percentage points from the previous period; daily output was 509,900 tons, up 32,000 tons; raw coal inventory was 3.2636 million tons, down 97,700 tons; clean coal inventory was 2.3739 million tons, down 140,800 tons.
- On June 18th, average cost for rebar at 76 independent EAF steel mills was 3,261 yuan/ton, down 1 yuan/ton day-on-day; average profit loss was 131 yuan/ton; off-peak electricity profit loss was 29 yuan/ton.
- As of June 18th, survey data shows increased billet supply in East China for June. Total manufacturer orders reached around 470,000 tons, with export orders accounting for 36.4%. Increased supply is mainly due to narrowed rebar profits and more rolling line maintenance.
- Latest GACC data shows: In May, China exported 6.33 million tons of steel plate, down 1.0% year-on-year; Jan-May cumulative exports were 30.39 million tons, down 0.5% YoY. (Other major industrial product import/export data follows).
- Valin Steel stated on its investor platform on June 18th that the construction of its Hengyang Steel extra-large diameter seamless steel pipe project is accelerating and is expected to be completed and operational in Q2 2025.
- HBIS Resources announced that its controlling shareholder, HBIS Group, increased its stake by 6.8932 million shares (1.06% of total shares) via centralized bidding on the Shenzhen Stock Exchange between Dec 18, 2024, and June 17, 2025.
- On June 17th, ArcelorMittal Germany planned maintenance shutdown for its No. 5A blast furnace. Major work is scheduled for June 23rd-27th. The furnace (Eisenhüttenstadt Steel Plant) has an annual capacity of ~1.7 million tons.
- Nippon Steel announced on June 18th it has completed the acquisition of U.S. Steel, making it a wholly-owned subsidiary.
- SHFE added new futures options contracts (Natural Rubber, Lead, Tin) for overseas investors. CZCE added new futures options contracts (Glass, Soda Ash, Ferrosilicon) for overseas investors.
- According to CPCA: National NEV retail sales reached 402,000 units from June 1st-15th, up 38% YoY and flat MoM. National NEV retail penetration rate was 57%. Year-to-date cumulative retail sales reached 4.76 million units, up 35% YoY.