Global output of nickel is still outstripping demand, leading to a big weekly loss on the London Metal Exchange this week for the alloying metal in stainless steel.
Its fall this week has erased much of what it gained early in the new year in a short rally.
The week’s biggest mover on the weekly Stainless MMI® was the Indian nickel cash price, which saw a 7.8% decline to INR 910.00 ($14.68) per kilogram. This comes on the heels of a 1.5% increase the week before. The 3-month price of nickel fell 5.8% on the LME to $14,625 per metric ton after rising 4.1% the week before. Following a 4.0% increase in the week prior, the nickel spot price fell 5.8% on the LME last week to $14,550 per metric ton.
Chinese stainless steel prices were mixed for the week. The price of Chinese ferro-moly declined 1.1% over the past week, settling at CNY 87,000 ($14,068) per metric ton. The price of Chinese ferro-chrome rose 0.5% to CNY 10,950 ($1,771) per metric ton after falling 0.5% during the previous week.
The price of Chinese primary nickel fell 3.5% to CNY 107,500 ($17,383) per metric ton after rising 2.5% the week before. Chinese 304 stainless steel scrap saw a 3.1% drop-off this week to end at CNY 9,350 ($1,512) per metric ton. Chinese 316 stainless steel scrap prices were off slightly at CNY 12,950 ($2,094) per metric ton, down from CNY 13,150 ($2,117) a week ago. At CNY 16,700 ($2,700) per metric ton, the week finished with no movement for Chinese 304 stainless coil. At CNY 23,700 ($3,832) per metric ton, the price of Chinese 316 stainless coil did not change since the previous week.
Korean 304 stainless coil traded sideways last week, hovering around KRW 4.2 million ($3,881) per metric ton. Prices for Korean 430 stainless steel coil remained constant, closing the week at KRW 2.6 million ($2,376) per metric ton. At $0.76 per pound, the Allegheny Ludlum 304 stainless surcharge remained essentially flat. The Allegheny Ludlum 316 stainless surcharge traded sideways last week, hovering around $1.01 per pound.
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. 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.