In Europe, particularly in Germany and the BENELUX states, further delivery delays and major technical problems are reported at some coil product producers. Nickel is rising on the LME and SHFE. In China, there is hot demand for nickel ores and NPI. And Chinese stainless steel in the spot market has risen in price again.

Stainless Espresso: Problematic delivery delays for coil products in Europe
Stainless Espresso: Problematic delivery delays for coil products in Europe

Facts and figures: Nickel above $19,000 per ton

Nickel already rallied sharply on the LME and SHFE last week and had climbed to its highest level in 5 months. Today, Monday (July 19, 2021), it was briefly already at $ 19,100 per ton on the LME and has acutely fallen back somewhat below that. Also on the SHFE, the most frequently traded nickel contract stands at over $ 22,000 per ton.

Nickel pig iron and nickel ore: high demand, low supply

Demand for nickel pig iron and nickel ore from stainless steel producers has continued to rise. This is offset by low availability of nickel ore and nickel pig iron.

Chinese stainless steel spot prices continue to rise

Spot prices for Chinese stainless steel also continued to rise. Prices increased by up to 3.65% on Monday.


Coil availability in northwestern Europe remains tight

Long delivery times for Northern European coil buyers are expected to continue into the second half of the year. This is reported by market sources. In particular, reliable on-time coil supplies are questionable from European steelmakers at the moment.

Further delays could be added as several German coil prodcuers are either experiencing technical difficulties or carrying out planned maintenance work. In addition, there are further problems due to the current natural disaster in parts of Germany and the BENELUX states.

In addition, other European coil producers in the BENELUX countries appear to be experiencing greater technical difficulties and production stoppages than previously thought.

Our tip: Find out now which delivery delays could occur, when and where, and how you can best compensate for them. Use the summertime to already prepare for the fourth quarter of 2021 and the first quarter of 2022.

Deutsche Bank: What will be important this week

In the course of the week | In the U.S., with, among others, IBM on Monday, Netflix and United Airlines on Tuesday, Johnson & Johnson and Verizon on Wednesday, and Intel and AT&T on Thursday, more weighty companies publish their figures for the second quarter of 2021. In Europe, among others, the major bank UBS (Tuesday) and SAP and Daimler (Wednesday) report their financial results.

Monday, July 19, 2021

UK | Nearly all pandemic-related restrictions are lifted in England.

USA | NAHB Housing Market Index. U.S. homebuilder sentiment likely remained near historic highs in June amid unchanged strong demand for housing.

Tuesday, USA | Housing Starts and Building Permits in June. Both data series should remain at very high levels. Slight gains are expected for the month.

Wednesday, July 21, 2021

USA | As things stand, a first vote on the intended U.S. infrastructure package is on the agenda in the U.S. Senate.

Thursday, July 22, 2021

Eurozone | Meeting of the European Central Bank (ECB). Monetary policy decisions are not on the agenda. However, ECB President Christine Lagarde has already announced that the Governing Council will discuss a concretization of the ECB’s recently presented new strategy and that she would like to explain it in more detail at the subsequent press conference.

USA | Initial jobless claims for the week ending June 17. Once again, there could be a slight decline in initial claims to the lowest level since the start of the Covid 19 pandemic.

USA | Leading indicators in June. Given the continued strong economic data in the U.S., a further increase in the indicator is likely.

Friday, July 23, 2021

Eurozone | Preliminary July purchasing managers’ indices for industry and services in France, Germany and the eurozone. While service provider sentiment is expected to have improved slightly further thanks to widespread openings in many member states, a slight decline in industrial sentiment is expected – albeit from record levels and mainly due to bottlenecks in the supply chains for intermediate products.

USA | In the USA, too, the preliminary purchasing managers’ index for industry and services will be published by Markit for the month of July. Both indices are expected to have stabilized at a high level.


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