Market developments stainless steel fasteners September 2020
We receive questions on a regular base from our partners concerning the price developments of stainless steel fasteners. A Logical consequence... considering the ever fluctuating market movements! Important stakeholders such as banks and manufacturers make forecasts, but often they don't get it right. Which external influences are important? When is a perfect time to place an order? What is currently going on and which forecasts can be made? To answer these questions our CCO Dennis Steegman will share his vision on the stainless steel market on an monthly base.
What is going on this month and what can be expected?
For a while I’m sharing my vision on the market of Stainless Steel Fasteners. Till this moment only in my mother tongue Dutch. Given the circumstances of the last 6 weeks it’s a very good time to start with this in English to inform our International Partners!
Especially in August a lot happened. Due to an advancing nickel price we have received several price increases from our sources in Asia! In total we are talking about 15% in the last 6 weeks. We assume that the rising trend of nickel prices is caused by several factors. First of all there is the increasing demand of electric cars where nickel is an important raw material for batteries. Secondly we see better economic prospects in Asia after a quiet 2nd quarter due to Covid 19. This results in an increasing demand for Stainless Steel. Third, we currently see a weaker US dollar exchange rate against the Euro.
It should be clear, The market for stainless steel is currently on the move. Keeping an eye on the London Metal Exchange from time to time is certainly not a bad idea.
