India’s weekly imported stainless steel prices dropped by 1-3pc, despite a 7pc increase in the official three-month LME nickel contract. Prices declined on extended nationwide lockdown leading to no demand.
The Davis Index for 304 (18-8) stainless steel scrap solids settled at $1,053/mt, cfr India port, Tuesday, down by $11/mt from a week ago. Indian stainless steel mills and importers showed no signs of resuming bookings since they already have material stuck at ports.
The Davis Index for 304 (18-8) stainless steel scrap solids cfr Taiwan port, however, rose in line with an increase in the official LME nickel futures contract and settled at $1,000/mt, up by $35/mt from a week ago.
The weekly index for 430 stainless steel scrap remained unchanged at $413/mt, cfr India port, Tuesday.
The official three-month LME nickel contract settled at $12,334/mt, Monday, up by $811/mt from a week ago, the highest since a month. Nickel prices rose after Brazilian miner Vale reduced its production forecast for 2020 to 180,000-195,000mt from 200,000-210,000mt due to uncertainty caused by the spread of COVID-19. Additionally, the temporary shutdown by a few Philippine nickel miners has also caused concerns of supply shortage, driving the prices up.