SHANGHAI, Aug 2 (SMM) - The stainless steel futures prices rose as the SHFE nickel increase. The most traded stainless steel futures once rose by more than 4.29% today and the increase narrowed to 3.47% as of the daytime session.
The average spot price of 304/2B coil-raw （Wuxi) stood at 16,650 yuan/mt, flat from last Friday. According to SMM research, the spot prices stopped falling and stabilised. Although the market expected the prices to rise last weekend, the transactions were still flat. In the short term, the prices will decline amid the weak supply and demand.
According to SMM, in terms of cost, the prices of high-grade NPI were stable, and the NPI prices are expected to fall under pressure in the short term. In addition, the ferrochrome prices further declined and are expected to continue to fall amid the sufficient supply in the short term. It is still necessary to pay attention to the adjustment of Indonesia's export policy of NPI products. On the whole, the market is still in a heavy wait-and-see sentiment as the stainless steel futures are unlikely to gain sufficient support from the fundamentals.