Spot Prices of Stainless Steel to Run Steadily with Occasional Rises amid the Slight Pick-up in Demand

SHANGHAI, Mar 6 (SMM) - Spot prices of #304 stainless steel trended lower last week. The 300-series social inventories in Wuxi and Foshan markets dropped slightly last week. Market players were less willing to pick up goods. A large number of spots signed by stainless steel mills to agents has not been picked up yet by the latter, which may greatly push up the warehouses in Wuxi and Foshan. Some 300-series cold-rolled coil producers carried out temporary maintenance last week, which has limited effect on solving the mismatch between the supply and demand of cold-rolled coils in the short term. Prices of hot-rolled coils remained firm since the supply kept dropping and the demand from industrial sectors still existed, leading to a narrower price difference between cold-rolled and hot-rolled coils. In summary, stainless steel mills may maintain high operating rates in March, pushing up the inventory pressure. SMM expects that in the short term, the spot prices of stainless steel may run steadily with occasional rises amid the slight pick-up in demand.