304/2B:The average price of 2.0*1219*C (slit edge) of ZPSS in the Wuxi market is US$1,945/MT(plus taxes) which is US$43/MT lower than last week and the declining percentage is 2.08%. Besides, the average price of 2.0*1219*C(slit edge) in the Foshan market is US$1,985/MT(plus taxes) which is also US$43/MT lower than last week and the declining percentage is 2.04%.
304/2B: This week, the average price of 2.0*1240*C(mill edge) of Hongwang in the Wuxi market is US$1,820/MT(plus taxes) which is US$51/MT lower than last week and the declining percentage is 2.59%. What's more, the average price of 2.0*1240*C(mill edge) in the Foshan market is US$1,795/MT(plus taxes) which is US$51/MT lower than last week and the declining percentage is 2.62%.
304/No.1: The average price of 4.0*1520*C (mill edge) of ESS in the Wuxi market is US$1,725/MT(plus taxes) which is US$39/MT lower than last week and the declining percentage is 2.13%. Furthermore, the average price of 4.0*1520*C(mill edge) in the Foshan market is US$1,765/MT(plus taxes) which is US$45/MT lower than last week and the declining percentage is 2.37%.
316L/2B: This week, the average price of 2.0*1219*C of TISCO in the Wuxi market is US$2,835/MT(plus taxes) which is US$70/MT lower than last week and the declining percentage is 2.24%. Moreover, the average price of 2.0*1219*C(slit edge) of TISCO in the Foshan market is US$2,885/MT(plus taxes) which is US$70/MT lower than last week and the declining percentage is 2.20%.
316L/No.1: This week, the average price of 4.0*1500*C(mill edge) of ESS in the Wuxi market is US$2,545/MT(plus taxes) which is US$33/MT lower than last week and the declining percentage is 1.21%. What's more, the average price of 4.0*1500*C(mill edge) in the Foshan market is US$2,585/MT(plus taxes) which is US$35/MT lower than last week and the declining percentage is 1.24%.
LH/2B: This week, the average price of 1.0*1219*C(mill edge) of the Wuxi market is US$1,095/MT(plus taxes) which is US$1/MT lower than last week and the declining percentage is 0.13%. Besides, the tax-inclusive average price of the Foshan market is US$1,085/MT(mill edge) which increases by US$4/MT compared to last week and the rising percentage is 0.37%.
430/2B: The average price of 2.0*1219*C(slit edge) of TISCO in the Wuxi market is US$1,135/MT(plus tax), which is US$12/MT lower than last week and the declining percentage is 1%. The average price of 2.0*1219*C(slit edge) in the Foshan market is US$1,145/MT(plus taxes) which decreases by US$4/MT compared to last week and the declining percentage is 0.38%.
Black Monday! Oil Price Plunges 30%, Affecting Stainless Steel Price
International oil price crashes 30% on Monday(9th, March). When the negotiation between OPEC+ and Russia failed, Saudi Arab wages the “oil price war” triggering another worst price drop after the price had dropped 10% last Friday.
Affecting by the price change, mass products follow suit and plunge. Most of the domestic commodities limit down. LME (nickel) descends for US$400 on opening, SS2006 started at a low level and kept decreasing by US$70 and went below US$1,735.
Saudi Arab- Russia Negotiation failed. Oil price crashes.
Negotiation between OPEC+ and Russia closed and failed to reach the agreement of reducing 1.5 million barrels/day on Friday. Just right on the next day, Saudi Arab instantly wages “Price War”. The crude oil prices of different oil levels are adjusted down, which is the sharpest cut in at least 20 years. This action is meant to take over the market, which will input more crude oil into the market.
Some said that Saudi Arab is planning to increase the production of oil next month, which is predicted to be more than 10 million barrels for daily output, or hit the record of 12 million barrels per day.
Moreover, Saudi Arab will knock off the price of oil that is sold to Europe, the far east, the State and the abroad market. The discount range breaches the highest point of the recent 20 years, to attract abroad oil refineries to buy crude oil from Saudi Arab.
Affected by the negotiation, international oil prices crashed down on Monday morning. Brent oil futures descended over 30% and WTI also fell almost 30%. It had rebounded but it was too small to make it up. By Monday, WTI futures have dropped over 30% and in two transaction days, its accumulative losses reached 40%.
Both LME(nickel) and stainless steel futures plunge
Monday morning, after the Stock Market opened, LME(nickel) and stainless steel dived dramatically. LME(nickel) dropped over US$400, even worst, SS2006 decreased more than US$80 and breaches US$1,735, breaking the lowest record.
Analyzed form the market, it seems like panic attacks the market where bulls take the initiative to operate clearance to avoid the risk of further declines. Under this circumstance, most people anticipated that the market prices will continue to go down.
Futures drop, then how about the stainless steel spots?
Price dropped, goods sold. 304 has been falling. ESS 304 is sold at US$1,725/ton, which is decreased by US$7. Hongwang cold-rolled 304 decreased by US$14 and to US$1,770/ton; Tisco decreased US$29 on all 304 products, giving out US$1,940/ton on cold-rolled 304 and US$1,860/ton on hot-rolled 304.
In terms of the market selling, the quotations of 304 Hongwang, Chengde Group, Yongjin, and other private-owned enterprises production areas in the Wuxi market on Monday morning went to US$1,744/ton (mill edge), which had a decrease of about US$14/ton; the mainstream private-owned enterprises offer was US$1,715/ton, dropped about US$7/ton. To grab orders in advance, the price given out was lower than the mainstream market price of US$7-14/ton, especially after ESS downgraded its price of US$7/ton, there are more operations to follow suit.
The delivery of pre-holiday orders and the release of demand did make the transactions seem a little busy in a short term, but the problems of declining price, transportation, losses, funds, inventory and so on made the negative sentiment in stainless steel market more intense. Under multiple pressures, it still faces greater downward pressure among the market.
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