This week, finished steel continued its gradual decline, while raw materials began to stabilize, with coking coal rebounding to some extent. During the week, rumors about a coal mine accident in Shanxi and customs clearance restrictions at the Mongolian border spread, boosting sentiment. Coupled with the China Mineral Resources talks, the raw materials side rebounded from lows. In the second half of the week, as rumors of maintenance at steel mills across various regions emerged, negative feedback expectations intensified somewhat, and raw materials pulled back. Approaching the weekend, however, the 10th round of coke price increases was initiated, pushing coking coal and coke futures higher. In the spot market, the off-season characteristics of end-users became increasingly evident, with the market restocking at low prices as needed. With spot prices remaining relatively firm, the spot-futures price spread continued to widen...

In June, global scrap tungsten markets diverged. India followed China's tungsten price rally, with active trading and higher prices in mid-June before cooling as China softened. Europe saw low-level consolidation due to high speculative inventories, but prices began to edge up in late June as stocks cleared. China's tungsten market experienced a sharp rebound followed by a pullback, and is expected to consolidate in the near term, while medium-to-long-term fundamentals remain solid.

[SMM Coking Coal and Coke Daily Brief] Coking Coal Market: Linfen low-sulphur coking coal offers are at 2,050 yuan/mt. For coking coal, recently the resumption of production at mines in Qinyuan County has been slow, and some mines have further cut production to varying degrees after resuming operations. Coking coal supply remains tight. However, downstream buyers are showing fear of high prices, with sales of some high-priced coal types turning sluggish. Online auctions have seen a marked increase in failed lots. In the short term, the coking coal market may start to stabilize. Coke Market: The nationwide average price of quasi-first-grade metallurgical coke (dry quenched) is 2,090 yuan/mt. Regarding news, coke enterprises in various regions have initiated the tenth round of coke price increases, to be effective from 00:00 on July 6, 2026. In terms of supply, the ninth round of coke price increases have been implemented, leaving most coke producers profitable and with moderate production enthusiasm. However, downstream purchasing enthusiasm has weakened, and traders are actively selling, resulting in an increase in coke supply. On the demand side, finished steel prices at steel mills have been drifting lower, and steel mill profits have further narrowed, prompting mills to start cutting hot metal production. With hot metal production expected to decline further, rigid demand for coke is weakening. Overall, market sentiment has weakened. In the short term, the coke market may be generally stable with a slight rise, while the tenth round of price increases may face some bargaining. [SMM Steel]

[SMM Analysis] Stainless Steel Costs and Prices Pull Back in Tandem, Steel Mill Profits Remain Basically Stable This week, stainless steel prices and production costs fell together, and steel mill profit margins remained basically stable. Based on 304 cold-rolled as the benchmark, the profit margin calculated with current raw materials was 2.07%, while that using inventory raw materials was 1.33%. Nickel-based raw material cost side, high-grade NPI prices showed a pullback trend this week. During the week, SHFE nickel and SS futures were in the doldrums overall. Although there were widespread expectations of tight supply for high-grade NPI and upstream smelters and traders maintained firm offers, stainless steel mills' production schedule expectations pulled back, leading to weaker demand, and coupled with the simultaneous decline in stainless steel prices, the industry's acceptance of high-priced supply was very limited, and market transactions remained sluggish. As of this Friday, high-grade NPI with mainstream grade of 10%-12% fell by 8 yuan per nickel unit, closing at 1,133 yuan per nickel unit. Stainless steel scrap market, stainless steel scrap prices pulled back slightly this week. The weak futures market transmitted downward to spot cargo, and combined with sluggish off-season demand and reduced steel mill production schedules, rigid demand weakened further. Although steel scrap had an economic advantage over NPI, providing floor support for prices, uncertainty over Indonesian policies kept the market in a wait-and-see stance. Under the weight of bearish fundamentals, short-term stainless steel scrap prices are expected to continue to be in the doldrums. As of this Friday, the mainstream 304 off-cuts price in the Shanghai region fell by 100 yuan/mt, with the latest quotation at approximately 10,400 yuan/mt. Chromium-based raw material cost side, high-carbon ferrochrome prices continued to edge down this week. High-carbon ferrochrome production remained high...

[China's ore shortage situation unchanged, July zinc concentrate TCs continue to decline]: From weekly data, the SMM Zn50 domestic weekly average TC fell 400 yuan/mt Zn WoW to -600 yuan/mt Zn, and the SMM imported zinc concentrate index fell $5.33/dmt WoW to -$82.83/dmt....

[SMM Stainless Steel Daily Review] SS Consolidates Amid Persistent Macro News Disturbances; Stainless Steel Spot Prices Remain Firm in Off-Season with Sluggish Trading According to SMM on July 3, SS futures presented an overall pattern of holding up well. US non-farm payrolls data came in below expectations and inflation expectations declined, prompting non-ferrous metals to strengthen overall. SS followed suit and rose in tandem. As of the midday close, the most-traded SS contract settled at 14,600 yuan/mt. In the spot market, the decline in SS futures paused temporarily, while current social inventory pressure on stainless steel was not significant. With steel mills holding prices firm, spot offers remained firm. Most-traded SS futures contract. At 10:15 AM, SS2608 was quoted at 14,655 yuan/mt, up 75 yuan/mt from the previous trading day. Spot premiums for 304/2B in Wuxi were in the range of 315-865 yuan/mt. In the spot market, the average price of cold-rolled 201/2B coils in Wuxi remained unchanged; cold-rolled 304/2B mill edge coils, average prices in Wuxi and Foshan both held flat; cold-rolled 316L/2B coil prices in Wuxi were flat; hot-rolled 316L/NO.1 coil quotes in Wuxi were unchanged; cold-rolled 430/2B coils in Wuxi and Foshan fell 50 yuan/mt. This week, the tug-of-war between macro and industrial logic dominated the futures trend. US inflation data pulled back, market expectations for US Fed interest rate hikes further cooled, and the US dollar index weakened, overall boosting valuations of commodities and non-ferrous metals and providing macro support for the metals sector. However, sentiment on the industrial side remained bearish, the issue of Indonesia's nickel ore supplementary quotas remained unresolved, and the market held relatively...