SMM Comments: SS Contract up over 6%, Stainless Steel Spot Surged Nearly 1000 yuan/mt
18:01 Mar 24, 2022 Source: SMM

SHANGHAI, Mar 24 (SMM) - Spot prices of each series in Foshan market rose in different degrees. Prices of 304# stainless steel went up due to the rise of LME nickel after opening, coupled with the market shutdown for unexpected accidents, resulting in a relatively tight supply. Today, SHFE nickel hit limit up and SS contract rose 7% as well as the increase in spot. The average price of 304# stood at 20,800 yuan/mt. In terms of market transactions, transactions of 201# were rather good, while most 304# traders reflected the prices were inflated with light transactions. Because the costs remained high, supporting the prices of ferronickel in the short term. According to SMM research towards steel mills, transaction prices of scrap had increased. Therefore, the costs can still be supportive. SMM believes that prices of stainless steel will carry some upside potential. State-owned 304/2B deburred edge coil prices are 21,500-21,800 yuan/mt. Private-owned 304/2B burred coil are 20,900-21,500 yuan/mt, 304/NO. 1(166.67cm)at 20,600-21,000 yuan/mt. SHFE SS2204 contract stood at 21,475 yuan/mt at 10:30am. Premiums of Foshan stainless spot stood at -450 - 95 yuan/mt (spot deburred = burred + 170)

Key Words:  stainless steel 
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