Stainless Steel Sentiment Recovers, Prices Stabilize but Face Difficulty in Rising [SMM Stainless Steel Spot Daily Review]

On November 20, the sentiment in the stainless steel market further recovered. No new guidance prices were set by stainless steel mills, and mainstream transactions in the market were conducted based on the mill pricing. The availability of low-priced hot and cold-rolled resources decreased. Boosted by continuous rises in futures, 304 spot prices overall stabilized, and market inquiries were active. However, actual transactions were few. With the subsequent intensive arrivals, the probability of inventory buildup in social warehouses is high, and the spot supply is ample, lacking momentum for price increases in the short term. For 316, recent raw material prices have declined, downstream demand is poor, and prices are generally weak. The prices of the 200 series have recently fallen due to high inventory levels and weakening demand. It is expected that in the short term, stainless steel demand will remain at off-season levels, spot supply will tend to be ample, and overall prices will fluctuate downward. In the morning, 304 CRC in Wuxi was quoted at 13,300-13,600 yuan/mt, and 304 HRC in Wuxi was quoted at 12,800-12,850 yuan/mt. 316L CRC in Wuxi was quoted at 24,500-24,900 yuan/mt. 201J1 CRC in Wuxi was quoted at 7,500-7,900 yuan/mt. 430 CRC in Wuxi was quoted at 7,400-7,600 yuan/mt. At 10:30 AM, the SHFE SS2412 contract price was 13,310 yuan/mt, with Wuxi stainless steel spot premiums at 160-460 yuan/mt. (Spot cut edge = uncut edge + 170 yuan/mt).