The spot market for 310S stainless steel pipes is gradually shifting from strong expectations to weak reality

The CPI increase in the United States slowed down in March, lower than market expectations, and the inflation rate is expected to slow down. However, overall inflation is still at a high level, with sustained high inflation and labor market tension. In addition, banking events continue to ferment, leading to increased financial market pressure and a decrease in capital investment expectations. The futures market continues to decline, and the operating sentiment in the 310S stainless steel pipe spot market is sluggish. At the same time, apparent demand has slightly declined this week, The production of 310S stainless steel pipes continues to increase, what is the future price trend?

Factors Influencing the 310S Stainless Steel Pipe Market

The US CPI is lower than expected at 5.2%, the lowest since May 2021

The latest statistical data from the United States shows that the CPI data is lower than expected, and inflation is expected to slow down. Considering current inflation and employment data, the expectation of interest rate hikes in May is still high, and the US dollar index has retreated from high levels. Commodities such as crude oil and gold have gained support, helping commodity prices rebound and driving the stock and futures markets to bottom out. The operating sentiment in the spot market has been affected, which is beneficial for the price trend of 310S stainless steel pipes.

China’s export of steel increased month on month in March

At present, the international situation is severe, and China’s foreign trade is facing various factors that constrain the weakening of foreign demand, combined with various geopolitical factors. This year’s export target is facing serious challenges. In order to achieve the goal of promoting stability and quality in foreign trade throughout the year and continue to play the supporting role of imports and exports in the economy, more favorable export policies are expected to be introduced in the future, which will benefit the price trend of 310S stainless steel pipes.

China Steel Association: Key steel companies’ daily crude steel production increased by 2.71% month on month in early April

With the increase of coal supply and the impact of the supervision of the National Development and Reform Commission on iron ore, excessive market price speculation is strictly prohibited. The cost end support weakens, and the profits of the steel plant have rebounded. After the festival, the steel plant resumed work and production increased, the output continued to increase, the decline of total inventory narrowed, speculative demand was suppressed, and the apparent demand continued to weaken. Under the structural state of supply exceeding demand, the price trend of 310S stainless steel pipe was negative.

Price Forecast for 310S Stainless Steel Pipe

Market expectations have weakened, investment sentiment for economic recovery has turned cold, and the spot market for 310S stainless steel pipes has gradually shifted from strong expectations to weak reality. Market merchants have reported that there is no movement in the shipment of goods, and inquiries have decreased in large quantities. This week, steel mill production has continued to increase, downstream terminal demand has weakened, speculative demand is not easy to pick up goods, and overall apparent demand is poor. In addition, the supply of imported coal has increased, resulting in two consecutive rounds of decline in coke, Steel mills have limited profits to control the arrival of coke, weakened cost support, and narrowed the decline in total spot inventory. Merchants are cautious in restocking and are mostly wait-and-see. The stainless steel spot supermarket network predicts that the price of 310S stainless steel pipes may fluctuate and operate weakly tomorrow.