After a sharp drop of stainless steel price in the last quarter, the market seems to stay stable in September. Main reasons contribute to the current price stablization are buyers' low stocks and revived nickel prices.

Reviewing the price trend of nickel on the LME, it reached US$54,100/ton on May 16, and the price turned down to US$25,050/ton afterwards. However, the price started to recover from last week, which picked up to US$29,000/ton. This rebounded atmosphere has encouraged some steel mills to raise prices for foreign markets.

However, facing the low stock and not dramatically fluctuated nickel price, buyers are more positive towards placing stainless steel orders now but mills still find difficulties to raise the price too much.

Furthermore, the stainless steel prices of 300 series, 400 series and wire rods offered by the domestic main mills such as YUSCO, Tang Eng and Yieh Hsing also remain steady in September. Further price tendency will still much depend on the nickel price and buyers’stock levels.