Late resumption across downstream stainless steel plants dragged the upward momentum in NPI prices

Post-holiday consumption anticipation stabilises stainless steel prices

SHANGHAI, Feb 25&nbsp;(SMM) &ndash;&nbsp;Greater growth rates pulled&nbsp;prices of refined nickel above that of high-grade nickel pig iron (NPI) last week, after spot prices of high-grade NPI stood at premiums over refined nickel two weeks earlier, showed SMM data.&nbsp;

Last week, late resumption across downstream stainless steel plants dragged the upward momentum in NPI prices, even though its supply remained tight in the market. SMM learned that cold-rolled stainless steel producers have yet to fully recover though producers of hot-rolled stainless steel mostly resumed as of Friday February 22.&nbsp;

Prices of the most-active SHFE nickel contract and spot nickel materials increased for five consecutive trading days in the week to February 22. On Wednesday February 20, prices of high-grade NPI started to fell blow prices of Norilsk nickel, standing at a discount of 11.25 yuan/mtu over Norilsk nickel.

SMM believes that higher costs of raw materials will continue to weigh on purchases at stainless steel plants in the weeks ahead.&nbsp;