In the first week of resumption of work, goods arrived in various places one after another, consumption lagged behind, and social inventory accumulated slightly by 0.73% [SMM analysis]

As of February 22, the total social inventory of stainless steel was about 876,800 tons, an increase of about 0.73% week-on-week, and a month-on-month increase of 15.89%. Among them, the social inventory of 200 series stainless steel is about 238,300 tons, an increase of about 1.10% from last week's inventory; The social inventory of 300 series stainless steel was about 501,100 tons, an increase of about 0.66% week-on-week; The social inventory of 400 series stainless steel was about 137,400 tons, an increase of about 0.35% week-on-week......

As of February 22, the total social inventory of stainless steel was about 876,800 tons, an increase of about 0.73% week-on-week, and a month-on-month increase of 15.89%. Among them, the social inventory of 200 series stainless steel is about 238,300 tons, an increase of about 1.10% from last week's inventory; The social inventory of 300 series stainless steel was about 501,100 tons, an increase of about 0.66% week-on-week; The social inventory of 400 series stainless steel was about 137,400 tons, an increase of about 0.35% week-on-week.

200 series: The 200 series has accumulated slightly this week. After the holiday, shipping and land transportation have returned to normal, in February, the 200 series of Guangxi part of the intermediate frequency furnace stainless steel plant overhaul ended the output climbing, other state-owned and Qingshan 200 series normal production, the total amount is expected to increase by 5% compared with January, the resumption of work steel mill shipments are more concentrated, and some of the goods have arrived. The 200 series was affected by the recovery of consumption in the decoration field after the holiday, and some transactions picked up, and the inventory of public warehouses and traders accumulated slightly. According to SMM statistics, the social inventory of 200 series was 84,400 tons in Wuxi, an increase of about 0.22% month-on-month, and 153,900 tons in Foshan, an increase of about 1.60% month-on-month.

300 series: 300 series slightly accumulated this week. Due to the arrival of 300 series stainless steel during the Spring Festival and holidays, and the impact of the maintenance of 300 series stainless steel factories during the Spring Festival in February, the output declined, and the arrival volume after the holiday was not concentrated. This week, due to the fact that the downstream and terminal consumers have not yet started, the price is currently low and volatile, and the transaction is mainly concentrated on traders to take goods. Although some of the 300 series arrived this week, the total amount was small, and the inventory was slightly accumulated under the light transaction. According to SMM statistics, the social inventory of 300 series was 286,400 tons in Wuxi, an increase of about 0.25% month-on-month, and 214,700 tons in Foshan, an increase of about 1.20% month-on-month.

400 series: The 400 series has accumulated slightly this week. This week, the transportation of 400 series stainless steel was heavily affected by the heavy snow road blockade in the north, and the overall arrival volume was less, and the output was expected to decline by 6.24% month-on-month during the Spring Festival in February. Affected by the late start time of the downstream manufacturing industry, the overall consumption of 400 series stainless steel is dragged down, and the transaction of 400 series this week is relatively light. This week, the supply and demand of 400 series stainless steel were weak, and the inventory was slightly accumulated. According to SMM statistics, the social inventory of 400 series was 98,300 tons in Wuxi, an increase of about 0.15% month-on-month, and 39,100 tons in Foshan, an increase of about 0.85% month-on-month.

To sum up, this week is the first trading week after the Spring Festival, and transportation has gradually recovered, but the heavy snow in the north and the rainfall in the south caused by the cold wave across the country have been affected to a certain extent. In addition, during the Spring Festival, the steel mill load reduction or maintenance shutdown, the steel mill distribution volume did not recover. On the demand side, the downstream and terminal demand for stainless steel has not recovered in the short term, coupled with the narrowing of the basis between the futures and spots, the overall transaction sentiment is under pressure. Next week, the volume of steel mills will return to normal, but the downstream and terminal demand will lag behind, and it is expected that social inventory may continue to accumulate.
[Reprint needs to keep the source - Shanghai Nonferrous Metals Network] In the first week of resumption of work, goods arrived one after another, consumption lagged behind, and social inventory accumulated slightly by 0.73%