India: Stainless steel prices stable; demand remains bearish

The stainless-steel market in India is currently facing a decline in demand with stable prices. According to BigMint's assessment, the present price for 304-HRC is INR 173,000/t ($2,084/t), and the 304-grade CR price is around INR 184,000/t ($2,217/t) exw-Mumbai, indicating steadiness compared to the previous week.

On the home front, there were limited buying inquiries in the finished stainless steel market, resulting in low activity this week. At the same time, the domestic scrap market is experiencing a range-bound situation, with 316-grade scrap priced at approximately INR 200,000/t. Additionally, 304-grade scrap prices are at INR 114,000/t exw-Delhi.

Market participants noted that there is sufficient scrap in the domestic market, leading to a lack of interest from buyers in procuring imported material.

Offers for 304-grade scrap range from $1,340-1,350/t CIF Mundra. Meanwhile, nearby sources report 316 scrap prices at $2,520-2,525/t CFR Mundra.

In China, prices for stainless steel of 304-grade CR are $2,100-2,105/t FOB China, while the prices stood at RMB 14,900/t ($2095/t), ex-Foshan.

Raw material market

Ferro chrome: Indian ferro chrome prices (HCFeCr60%) remained range-bound w-o-w. According to BigMint's assessment, high-carbon ferro chrome (HCFeCr60%) prices stood at INR 118,800/t exw-Jajpur, up by INR 300/t w-o-w.

Ferro molybdenum: Indian ferro molybdenum prices witnessed a w-o-w decrease of INR 42,000/t. BigMint's assessment for ferro molybdenum stands at INR 2,325,000/t exw-Nagpur, calculated on a 60% pro rata basis.

LME nickel: Nickel prices on the London Metal Exchange (LME) decreased w-o-w. Three-month nickel futures on the LME fell by 3% w-o-w and are currently hovering at $15,915/t. Notably, nickel stocks in LME warehouses are at 71,802 t.

Outlook

Given the current market conditions, it is anticipated that prices might remain stable within the existing range, with the possibility of some slight fluctuations.