The depreciation factor of US dollar in the rise of API 5L X60 steel price

There are many factors that affect the rise and fall of API 5L X60 steel price. In addition to the relationship between supply and demand, the monetary factor is also an important factor. At present and for a period of time to come, this factor sometimes even surpasses the relationship between supply and demand and becomes a more important influencing factor. Therefore, market participants should pay special attention to it.

The monetary factor mentioned here mainly refers to the unprecedented release of excess liquidity by central banks around the world, represented by the Federal Reserve, for the purpose of "anti epidemic" and economic recovery, and thus has a strong upward driving effect on API 5L X60 steel market, especially the prices of imported iron ore and other smelting raw materials.

As a result of the depreciation of the US dollar, under the current situation that bulk commodities are still priced in US dollars, the prices of iron ore, coking coal, scrap steel and other raw materials for API 5L X60 steel smelting in the international market are bound to rise correspondingly, eventually raising the production cost of API 5L X60 steel and promoting the rise of API 5L X60 steel price.