Bullish Neighboring Market May Favorable for Stagnant EMM Market in China

SHANGHAI, Mar. 29 (SMM) -- Today, mainstream offers of EMM were in the RMB 15,100-15,200/mt range. Stagnant sentiment between suppliers and purchasers made EMM prices also struggle, but bullish neighboring market may be positive for Chinese EMM market.

It was reported that operating rates at EMM producers were 70.7%, which will not exert oversupply pressure for EMM market. In addition, prices of production materials like ore powder and sulfuric acid moved up steadily, which lent strong support for EMM prices. While, domestic EMM prices shall still depend on recovery of operating rates at stainless steel mills, although operating rates at large downstream stainless steel mills were stable. In this context, stagnant sentiment between suppliers and purchasers made EMM prices struggle.

It was also reported that offers of plain carbon steel were lifted due to expectation of higher iron ore prices. In addition, LME nickel prices also advanced due to strong fundamentals. In this context, bullish neighboring market may be favorable for China's EMM market.

To contact the writer on this report: jianghanmei@smm.cn

Copyright © SMM. All Rights Reserved

None of this material may be used for any commercial or public use in any forms or means, without the prior written consent of SMM. For reproduction issue, please contact us by email: service.en@smm.cn