[SMM Stainless Steel Daily Review] Nonferrous Metals Strengthening Drives SS Futures to Stop Falling and Rebound, Spot Stainless Steel Inquiry Weak with Limited Upward Momentum According to SMM on August 7, SS futures generally stopped falling and rebounded. The nonferrous metals sector strengthened collectively today, driving SS prices to rise in tandem. As of the midday close, the most-traded SS contract settled at 14,640 yuan/mt. In the spot market, although SS futures gave a clear signal to stop falling and rebound, purchase demand from downstream was largely released in the mid-week when prices were high. Intraday market purchase inquiries remained weak, and the upward momentum of spot offers from traders was very limited. The most-traded SS futures contract. At 10:15 a.m., SS2609 settled at 14,570 yuan/mt, up 105 yuan/mt from the previous trading day. Spot premiums for 304/2B in the Wuxi region were in the 400-750 yuan/mt range. In the spot market, the average price of cold-rolled 201/2B coil in Wuxi held steady; for cold-rolled mill edge 304/2B coil, the average price in Wuxi fell by 75 yuan/mt, and in Foshan by 50 yuan/mt; cold-rolled 316L/2B coil prices in the Wuxi region were flat; hot-rolled 316L/NO.1 coil offers in Wuxi remained unchanged; cold-rolled 430/2B coil prices in both Wuxi and Foshan were flat. This week, stainless steel futures were disturbed by both industry news and capital flows, presenting wild swings overall, with a fierce tug-of-war between longs and shorts. During the week, news about Indonesia's RKAB nickel ore supplementary quota repeatedly disturbed market expectations, and combined with shifts in capital flows on futures, SS futures first rose then fell, once exploring upward during mid-week...

As of now, the FOB price of Indonesian MHP nickel is $15,273/mt Ni, and the FOB price of Indonesian MHP cobalt is $47,840/mt Co. The MHP payables (against the SMM battery-grade nickel sulphate index) is 82.5-83.5, and the MHP cobalt payable indicator (against SMM refined cobalt (Rotterdam warehouse)) is 90. The FOB price of Indonesian high-grade nickel matte is $15,700/mt Ni.

On August 7, SMM battery-grade nickel sulphate average price remained stable.

[SMM Stainless Steel Daily Review] Indonesian Nickel Ore Quota News Hits Futures, Stainless Steel Futures and Spot Prices Pull Back in Tandem According to an SMM report on Aug 6, SS futures trended downward and hit bottom. The SHFE nickel and SS futures dropped together, impacted by news of additional nickel ore quotas under Indonesia's RKAB. As of the midday close, the most-traded SS futures contract settled at 14,380 yuan/mt. In the spot market, the SS futures' successive declines intensified the wait-and-see sentiment in the industry. Although traders generally lowered their quotes in line with futures, inquiries remained sluggish, and transactions weakened further. SS most-traded futures contract. At 10:15 a.m., SS2609 was reported at 14,465 yuan/mt, down 15 yuan/mt from the previous trading day. Spot premiums for 304/2B material in the Wuxi area were in the 405-855 yuan/mt range. In the spot market, the average price of cold-rolled 201/2B coil in Wuxi held stable. For cold-rolled unedged 304/2B coil, the average price in Wuxi fell 75 yuan/mt, while that in Foshan fell 50 yuan/mt. Cold-rolled 316L/2B coil prices in Wuxi were flat. Quotes for hot-rolled 316L/NO.1 coil in Wuxi were unchanged. Cold-rolled 430/2B coil prices in both Wuxi and Foshan were steady. This week, macro sentiment shifted bearish, dominating metal market trends, and stainless steel futures consolidated on a subdued note overall. The US Fed kept interest rates unchanged as expected at its meeting this week, but its overall stance was hawkish. Commodity valuations generally came under pressure, and the nonferrous metals sector weakened collectively. Dragged by the spillover effect of macro headwinds, SS futures followed suit and consolidated on a subdued note, with the center of the futures moving lower. The overall market...

[SMM Nickel Flash] August 6 news: High-grade NPI prices were dragged down by futures, and the transaction prices previously achievable also faced increased difficulty in closing today. Downstream purchasers still maintained a low-price purchasing approach, with some enterprises suspending procurement. Meanwhile, the market holds expectations for future growth in nickel ore supply. Supplier quotations remained divergent, lacking overall upward momentum, and market sentiment turned cautious.

As of now, the FOB price of Indonesian MHP nickel stands at $15,337/mt Ni, and the FOB price of Indonesian MHP cobalt stands at $49,106/mt Co. The MHP payables (against the SMM battery-grade nickel sulphate index) stand at 83-84, and the MHP cobalt payables (against SMM refined cobalt (Rotterdam warehouse)) stand at 91. The FOB price of Indonesian high-grade nickel matte stands at $15,765/mt Ni.

On August 6, the SMM battery-grade nickel sulphate average price remained stable.

SMM Nickel, August 6: Macro and Market News: (1) The US ADP employment for July came in at 44,000, below the market forecast of an increase of 70,000 and the downwardly revised 95,000 for June, marking the smallest gain since January this year. (2) Middle East situation—① Iranian Foreign Ministry: Close to reaching a strait agreement with Oman; two existing shipping lanes in the strait will be closed. The new shipping lane entering the Strait of Hormuz and part of the voyage out of the strait will pass through Iranian territorial waters. However, the new lane is also a temporary route, expected to be usable for 2 to 4 months. The Iranian foreign minister or parliament speaker has no plans to visit Pakistan or Qatar. Spot Market: On August 6, SMM #1 refined nickel averaged 131,450 yuan/mt, up 800 yuan/mt from the previous trading day. As for spot premiums, Jinchuan #1 refined nickel averaged 1,150 yuan/mt, flat from the previous trading day, while the range for mainstream domestic electrodeposited nickel brands was -200 to 400 yuan/mt. Futures Market: The most-traded SHFE nickel contract (2609) plunged in the morning session, ending the morning at 128,230 yuan/mt, down 2.10%. Hit by the sudden news that a large Indonesian mine is expected to significantly increase RKAB quotas, nickel prices fell sharply, reversing from gains to declines during the day, erasing earlier market expectations of quota tightening in Indonesia. Nickel prices are expected to be in the doldrums in the short term, and the extent of quota supplements from other miners needs to be monitored.

[SMM Nickel Flash] According to market sources, a major Indonesian nickel miner is expected to receive an additional nickel ore RKAB quota of several tens of millions of wmt for H2 2026. Combined with the quota already approved for the first half of the year, the miner's total 2026 nickel ore RKAB allocation is expected to increase significantly. As one of Indonesia's key nickel ore suppliers, the anticipated additional quota is expected to further support downstream smelter feedstock supply in the second half of the year. The progress of the supplementary quota remains subject to official confirmation by Indonesia's Ministry of Energy and Mineral Resources (ESDM).

Typhoon Kujira is forecast to pass close to northwestern Luzon on August 5, bringing strong winds, heavy rainfall, and rough seas to northern Philippines. While adverse weather may temporarily affect shipping in northern waters, the country's major nickel-producing regions are expected to remain largely unaffected, limiting the impact on nickel ore exports. Meanwhile, Typhoon Dolphin is forecast to weaken from Category 3 (100 kt) on August 5 to Category 1 (78 kt) by August 8, before approaching China's southeastern coast with sustained winds of around 68 kt on August 9–10. Strong winds and rough seas could temporarily disrupt vessel arrivals and cargo handling at ports around Ningde, Fujian, while the risk to Lianyungang remains relatively limited under the current forecast track. Overall, any impact on Philippine nickel ore shipments to China is expected to be localized and short-lived.