Stainless steel prices have been negatively affected by the lack of expected increases in demand in the international stainless steel markets and also as the rises in nickel prices have not been as strong as anticipated.
After nickel prices had decreased sharply towards the end of the previous week at the London Metal Exchange (LME), prices started to pick up as of last Friday, June 13, and have regained the levels seen before the decline. Nickel prices at the LME closed on July 19 at $16,180/mt for cash settlements.
Beside the decline in nickel prices, weak domestic demand has also caused stainless steel prices to soften slightly in the local Turkish market. Accordingly, import offers for 304 2B stainless steel cold rolled coils (CRC) of 2 mm thickness from suppliers in the Far East to Turkey are currently at $2,700/mt CFR. Meanwhile, European suppliers' offers for excess supply and second grade products to Turkey are lower by as much as $100-200/mt compared to the price in question. As the euro has weakened against the US dollar, ex-Europe offers have become more attractive.
In the meantime, prices for 304 2B stainless steel CRC of 2 mm thickness are in the wide price range of $3,000-3,100/mt ex-warehouse in the Turkish domestic market, while demand will likely show no improvement in the short term due to Ramadan.