Stainless steel undergoes strong oscillation after correction

　　Spot merchants mainly observe and stabilize prices. After the trading market weakens, the mentality of merchants in shipping is average, and they are often unwilling to adjust prices too low to stimulate transactions. Their enthusiasm for trading and picking up goods is average.

　　The market inventory has slightly decreased, and there will be significant upward pressure in the future. The weak operation will return to the fundamentals.

　　The cold rolling basis for 304 stainless steel in the Wuxi market decreased by 210 yuan/ton to -355 yuan/ton, while in the Foshan market, the cold rolling basis for 304 stainless steel decreased by 160 yuan/ton to -355 yuan/ton. According to Mysteel data, the social inventory of 300 series stainless steel in Wuxi and Foshan decreased by 8800 tons to 635200 tons, corresponding to a decrease of -1.37%. Among them, the hot rolling inventory decreased by 3100 tons to 20.15 million tons, and the cold rolling inventory decreased by 5700 tons to 433600 tons. The social inventory of 300 series stainless steel decreased slightly. According to SMM data, the average ex factory price of high nickel pig iron, including taxes, increased by 8.5 yuan/nickel point to 981.5 yuan/nickel point compared to the last week before the Spring Festival. The price of high carbon chromium iron in Inner Mongolia remained unchanged at 8800 yuan/50 basis tons compared to the previous week.

　　The current inventory pressure of 304 stainless steel is relatively high, with high supply and weak demand. The overall digestion of cold rolling is better than that of hot rolling, but the supply of steel mills is expected to continue to be loose in the future, and the downstream digestion capacity is weak. The current profits of stainless steel and nickel iron plants have been partially repaired, but the phenomenon of cost inversion has not been completely eliminated.

　　The current macro expectations are improving, and raw material prices are expected to be strong and volatile after a correction.