According to the Finance Channel app, steel stocks fell across the board today. As of press time, Chongqing Iron (01053) fell 3.23% to HKD 0.6, Angang Steel (00347) fell 3.05% to HKD 1.27, and Maanshan Iron (00323) fell 2.52% to HKD 1.16.

JPMorgan released a research report stating that, in the short term, most real estate policies aim to restore confidence in buying houses, rather than promoting construction activities and steel demand. The bank lowered its earnings forecast for Angang Steel in the next two years to losses of RMB 4.1 billion and RMB 2.5 billion respectively, and expects the company's losses to extend to the 2026 fiscal year due to weak domestic demand. As the premium gap of AH shares widens, the bank expects the company's shares to further be sold off. The bank downgraded the H shares of Angang Steel from 'neutral' to 'shareholding' and drastically reduced the target price from HKD 1.9 to HKD 1.

Huachuang Securities pointed out that in the current short-term industry, there is a situation of weakening demand and increasing supply in the off-season demand. Therefore, since June, the overall industry sentiment has declined, and steel prices have once again hit a low point in the year. The industry index has fallen in sync with the decline in steel prices. At the same time, the market's previous expectations for improved industry profits in the second quarter have weakened due to the fall in steel prices in June. From a fundamental perspective, in June, the industry once again demonstrated the negative feedback loop between raw materials and steel prices under weak demand conditions.