After Qingming, stainless steel futures surged then pulled back; spot prices remain steady

The stainless steel futures market shows a pattern of rallying strongly and then falling back. After the morning session opened, the stainless steel futures market initially surged quickly and strengthened; then, dragged down by declines in the non-ferrous board, it pulled back. As of the noon close, it settled at 14,135 yuan/ton. In the spot market, influenced by the overall choppy movement in the futures market, spot traders continue to maintain a price-stable delivery strategy; downstream players have not changed their cautious wait-and-see mindset, and mainly continue to procure on just-needed demand. Inquiry and transaction activity remains fairly subdued, and overall market quotes are largely steady. In the Wuxi market, the 304/2B spot stainless steel has premiums/discounts in the range of 220–420 yuan/ton. In the spot market, the average price of Wuxi cold-rolled 201/2B coils is flat; for cold-rolled slit 304/2B coils, the average price in Wuxi is flat, and the average price in Foshan is stable; the average price of Wuxi cold-rolled 316L/2B coils is flat; for hot-rolled 316L/NO.1 coils, the Wuxi quotation is flat; and both Wuxi and Foshan keep their cold-rolled 430/2B coil prices steady. At present, the stainless steel market is in the traditional peak consumption season of “the golden three and the silver four.” The downstream demand base has recovered somewhat compared with the previous period, and end-buyer procurement continues to follow a just-needed pace, with the overall transaction volume sufficient to support the market’s baseline vitality. However, due to disruptions from macro news and fluctuations in the futures market, downstream end customers still maintain a wait-and-see attitude and do not show any intention to stock up. Transactions fluctuate with changes in the news. (Shanghai Metals Market)