MEDIUM TERM PRICE FORECASTS--STAINLESS STEEL GRADE 304 - WORLD

摘要

The December World Average Hot Rolled Coil type 304 transaction price declined by over 510 US dollars per tonne. A similar fall was noted in hot rolled plate numbers. Plummeting raw material costs pushed North American values down dramatically. Significant decreases were also recorded in Asia and the EU. Mills in all regions are likely to continue with severe output cuts in the short term. Inventories in the west are at minimum levels and will, almost certainly, be insufficient if demand improves in the New Year. Distributors should begin to increase purchases in the first trimestertocoverfor the traditional spring pickup in sales. Consequently, domestic producers are expected to push through price advances in the second quarter. A rise in nickel values is also anticipated in early 2009. This is likely to help lift transaction figures. However, declining chromium costs could limit the impact of growing nickel prices. World selling figures are then forecast to drift downwards in the second half of next year due to seasonal factors.