This morning, Feb 22, 2021, we were not just a little surprised to read our industry news feed. Stainless steel prices are stagnant. Supposed to fall. Just a price spike?
What’s going on? Let’s take a look at the real stainless steel and commodity market.
Nickel at over $20,000 per tonne
The second look then went to nickel prices on the London Metal Exchange – over $20,000 per ton (currently back down a bit | Source: investing.com). Last week, market sources already opined to Gerber Group that they see nickel above $20,000 and on its way to $30,000 per ton.
Producers raise stainless steel prices or impose offer freezes
And then there are the other emails in the inbox. Upturns in prices everywhere in Southeast Asian countries. One global manufacturer is raising stainless steel prices by $160 per ton over the weekend. Some other Asian producers are already imposing offer freezes.
In some countries, stainless steel is no longer even available because steel producers prefer to concentrate on the domestic market.
The law of supply and demand is clear on this. If supply falls but demand remains the same or rises, then prices also rise.
The stainless steel market is clearly pointing against the news
And the news sites are spreading the word that stainless steel prices are supposed to fall. But if you look at what the market is actually saying. What the manufacturers, traders, the London Metal Exchange and the commodity market in particular are saying, then price reductions are absolutely incomprehensible. The price trend is clearly continuing upwards.
Better now quickly cover the demand for the next period.
Do you have any questions on one of our topics? Or would you like to know where stainless steel is currently still available? Just give us a call: +49 7642 9282851 or send us an email to info@steelnews.biz.
Read also:
- EU SAFEGUARD MEASURES: CALLS FOR IMMEDIATE END GROW LOUDER
- Nickel jumps over 4% due to weak dollar and strong demand
- Steel scrap prices on global markets recover after Lunar New Year holidays
- SN Weekly 7/2021: Turbulent week on the steel market
We at the Gerber Group have been trading in stainless steel worldwide for over 20 years. We are your experts when it comes to purchasing, import, logistics and services. Information is a vital part of this. Because only then can you and we make the right decisions. Do you have any questions? Contact us now.
Disclaimer: Many things here represent our opinion. Others are information from the Internet. We can therefore never claim to be correct or complete. And never base a business decision solely on the news you receive from us.
