MEPS International has stated that higher nickel costs in August helped US and Asian mills to lift market values. Decreased selling prices for grades 316 and 430 material in the EU selling prices were noted because of lower alloy surcharges.
According to MEPS, global demand for stainless steel is expected to grow steadily and attempts by western mills to lift basis numbers may prove difficult as sales traditionally slow towards the year end.
However, customers are likely to increase purchase volumes later in the fourth quarter for delivery early in 2014. This could result in some upward price movement prior to the New Year. A rise in mill input expenditure is forecast in the first quarter. Consequently, the first half of 2014 could be the start of a sustained revival in stainless steel transaction values.