Manufacturing In 200/300/400 Series Stainless Steel Since 2004. 【Online Catalogs】

400 Series Stainless Steel Increased Slightly

2022-10-20
Social Inventory of Stainless Steel Fell in the First Half of October, Only That of 400 Series Stainless Steel Increased Slightly

In the first half of October, the spot transactions were thin while stainless steel mills in south China produced actively. The overall spot prices fluctuated.

In the first half of October, the spot transactions were thin while stainless steel mills in south China produced actively. The overall spot prices fluctuated.

After the National Day holiday, the spot prices rose a lot. But the futures prices fell and the transactions were thin and the spot prices fell weakly. In the middle of the month, driven by the upward of futures prices, the spot prices rebounded again.

On the supply side, the total output of steel mills across the country increased by about 23.8% on the month in September, and the production of steel mills remained normal during the National Day. As the goods were gradually transferred to the market, the inventory of traders increased slightly.

On the demand side, the transmission of demand was relatively smooth; some customers engaged in export of components and small home appliance began to stock up for December, hence there was also a certain increase in the export demand. On the whole, social inventory continued to decline slightly.

The demand for the 200 series stainless steel improved, and the inventory declined more quickly.
As the transactions of the 400 series stainless steel were thin, the inventory in Wuxi and Foshan increased slightly.

In the second half of October, the cost support remained strong, and the spot prices may stabilise.
On the supply side, steel mills across the country are still expected to increase the production slightly in October, hence supply will remain sufficient.
On the demand side, amid the traditional off-season in November and December, both domestic and overseas demand for stainless steel may remain light. Therefore, downstream may stock up intensively in the second half of October.
On the whole, the demand and supply of spot stainless steel in the second half of October will both increase, but the increase in demand may not able to extend.

It is expected that the spot prices will remain stable and the social inventory may continue to decrease slightly.

As of October 14, the total social inventory of stainless steel was about 629,900 mt, down about 3.93% on the month and down 1.65% compared with the second half of September.
The inventory of 200 series stainless steel decreased by 6.42% month-on-month and 4.46% from the second half of September; 300-series stainless steel decreased by 3.61% and 1.38%; 400-series stainless steel decreased by 1.39% and 1.63%.

Disclaimer: Many things here represent our opinion. Others are information from the Internet. We can therefore never claim to be correct or complete. And never base a business decision solely on the news you receive from us.