The monthly Stainless MMI® registered a value of 91 in April, on par with March’s value.
The index took a break from its recent overall volatility. Last month’s stainless index dropped 7 points due to nickel price drops.
Domestic stainless surcharges for 304 and 316 fell as a result of lower nickel prices, though nickel fell only slightly from last month. The only prices that supported the index included 304 coil and scrap from China.
“Nickel prices continue to look weak as LME inventory stocks remain at record-high levels,” said Lisa Reisman, managing editor of MetalMiner. “We believe this will continue to place significant price pressure on the Stainless MMI®.”
With an average selling price of $1,521 per metric ton lower than the year-ago period, unless manufacturing picks up substantially in Europe or the US, the stainless outlook appears less than rosy.
Price Drivers of Stainless Index
After dropping the previous month, the price of Chinese 316 stainless coil prices rose 0.8 percent to $4,297 per metric ton. The price of Chinese 304 stainless coil rose 0.6 percent to $2,865 per metric ton after falling the previous month. After dropping the previous month, the price of Chinese 304 stainless steel scrap prices rose 0.6 percent to $2,865 per metric ton.
Allegheny Ludlum 316 stainless surcharge prices fell 5.6 percent to $1.08 per pound after rising the previous month. After rising the previous month, Allegheny Ludlum 304 stainless surcharge prices dropped 5.1 percent to $0.77 per pound. At $2,591 per metric ton, Chinese 316 stainless steel scrap was down 3.6 percent for the month. The price of Chinese primary nickel saw a small decline this month, falling 2.0 percent to $18,604 per metric ton. On the LME, the 3-month price of nickel fell a slight 0.4 percent over the past month to $16,695 per metric ton.
Last month was consistent for Chinese ferro-chrome in the local Chinese market, but the USD value moved up very slightly to $1,336 per metric ton. The USD value of Chinese ferro-moly was up slightly as well, staying around $23,335 per metric ton.
The Stainless MMI® collects and weights 14 global stainless steel and raw material price points to provide a unique view into stainless steel price trends over a 30-day period. For more information on the Stainless MMI®, how it’s calculated or how your company can use the index, please drop us a note at: info (at) agmetalminer (dot) com.