Stainless steel inventory has declined for eleven consecutive weeks, with destocking narrowing amid an underperforming peak season [SMM Analysis]

[SMM Stainless Steel Daily Review] News-Driven Disturbances Pushed SS Futures Higher to Test the Upside, Confidence in the Stainless Steel Spot Market Gradually Recovered SMM News, March 24: SS futures rose strongly. Affected by market fluctuations triggered by news of geopolitical conflict yesterday, SS futures rose sharply in the night session, and the daytime session maintained a fluctuating but relatively strong trend, closing at 14,290 yuan/mt by midday. In the spot market, boosted by the sharp rise in SS futures, market confidence somewhat recovered; although the increase in traders' spot quotations was limited, both inquiries and transactions showed signs of recovery during the week. The current market is heavily disturbed by news factors, and changes in the geopolitical conflict still need close attention. The most-traded SS futures contract strengthened and moved higher. At 10:15 a.m., SS2605 was quoted at 14,305 yuan/mt, up 125 yuan/mt from the previous trading day. Spot premiums for 304/2B in Wuxi were in the range of 115-315 yuan/mt. In the spot market, the average price of cold-rolled 201/2B coils in Wuxi rose by 50 yuan/mt; for cold-rolled trim-edge 304/2B coils, the average price in Wuxi rose by 50 yuan/mt, while the average price in Foshan was unchanged; cold-rolled 316L/2B coils in Wuxi were unchanged; for hot-rolled 316L/NO.1 coils, Wuxi quotations were unchanged; cold-rolled 430/2B coils in both Wuxi and Foshan were also unchanged. As the market entered the traditional peak consumption season of "Golden March and Silver April," although the stainless steel market ushered in a seasonal recovery window, end-use demand fell short of expectations, downstream wait-and-see sentiment gradually intensified, and the procurement side only maintained a restocking pace for rigid demand, with none of the transaction momentum typically seen in the peak season emerging. The market's view on stainless steel prices...

[SMM Stainless Steel Daily Review] SS Futures Oscillated Higher, Stainless Steel Spot Prices Rose in Tandem SMM News, March 23: SS futures oscillated higher and tested upward. Although the escalation of geopolitical conflicts in Iran weighed on the broader nonferrous futures, nickel and SS futures maintained a strong upward trend, closing at 14,140 yuan/mt by the midday break. In the spot market, agents of steel mills raised quotations, and coupled with the strong performance of SS futures, stainless steel spot prices moved higher during the day. Driven by the mentality of rush to buy amid continuous price rise and hold back amid price downturn, downstream end-users showed improved inquiry and trading activity. At present, stainless steel mills are under significant cost pressure, and the market holds strong expectations for cost support to prices. Although macro factors may limit any substantial price rise, room for a pullback is also constrained. The most-traded SS futures contract strengthened and moved higher. At 10:15 a.m., SS2605 was quoted at 14,180 yuan/mt, up 30 yuan/mt from the previous trading day. Spot premiums for 304/2B in Wuxi were in the range of 190-390 yuan/mt. In the spot market, the average price of cold-rolled 201/2B coil in Wuxi rose by 50 yuan/mt; for cold-rolled trim-edge 304/2B coil, the average price in Wuxi was flat, while that in Foshan rose by 50 yuan/mt; cold-rolled 316L/2B coil in Wuxi was unchanged; hot-rolled 316L/NO.1 coil was quoted flat in Wuxi; cold-rolled 430/2B coil in both Wuxi and Foshan was also unchanged. As the traditional September-October peak season approaches, the stainless steel market is seeing a seasonal recovery window, but end-use demand has fallen short of expectations. Wait-and-see sentiment among downstream players has gradually intensified, and proc……