According to the Ministry of Commerce (MOFCOM), market prices of edible agricultural products in 36 large and medium-sized cities across China continued to fall last week, while prices of means of production in circulation rose slightly. The price of steel fell by 0.5%, among which the price of hot rolled ordinary sheet and ordinary round steel fell by 0.9% and 0.8% respectively.

Last week, the Myspic Composite index closed at 91.09 points, down 1.17% from the previous week, adding to the decline. At the beginning of this week, the central bank announced to cut interest rates by 25 basis points, and commodity futures market rebounded somewhat, but the spot market was still flat. Since then, with the forward market falling back, the spot price began to decline more, the market was again pessimistic, and the billet price also dropped by 50 yuan/ton.

Last week, the U.S. economy added 223,000 jobs in April and the unemployment rate hit a seven-year low, but wage growth was weak. PPI fell at its fastest pace in five years in April as mixed U.S. economic data put the Federal Reserve in a bind to raise interest rates. GDP in the eurozone grew by 0.4 per cent in the first quarter, weaker than expected, and Germany's performance weakened. The ECB says it will keep QE in place until inflation continues to rise. Greece slashed its full-year GDP growth forecast to 0.8%, down from a forecast of 1.4%. British industrial output rose 0.5 percent in March from the previous month, the highest since February 2014, and is expected to be flat. The Bank of England left its benchmark interest rate unchanged at 0.5%. Domestic aspects: On November 11, the central bank cut interest rates by 25 basis points, raising the ceiling of the deposit rate floating range to 1.5 times.

In April, the added value of industrial enterprises above designated size grew by 5.9% year on year, 0.3 percentage points faster than the previous month. From January to April, China's fixed asset investment reached 12 trillion yuan, up 12.0% year on year, and the growth rate was 1.5% lower than that of The january-March period. From January to April, the national investment in real estate development reached 2,366.9 billion yuan, up by 6.0% year on year, and the growth rate was 2.5% lower than that of January to March. China's electricity consumption in April was 441.5 billion KWH, up 1.3 percent year on year. In April, the average daily output of crude steel was 2.297 million tons, up 2.5% month-on-month; The average daily output of steel was 3.213,700 million tons, up 2.1% month-on-month, the second highest level in history. Baosteel shares in June steel prices to flat - based. China and Russia signed 32 big deals worth $25 billion. Li Keqiang will travel to Latin America to promote the "two-ocean railway".

Generally speaking, although the market has some good, but it is continued to be depressed demand, the merchant shipping is difficult, but constantly cut the price to facilitate delivery, but the downstream end users do not buy, in the psychological expectation of buying up not buying down, the purchase is more cautious. Generally speaking, the volatility of the futures market has increased the room for market price fluctuations, but the demand is difficult to improve, and the overall price will still be weak.