Monthly alloy surcharges on austenitic grades of stainless steel flat-rolled products in Europe are set to resume their upward trend in February after dipping in the current month, according to latest mill announcements Monday.
Finland's Outokumpu, the continent's largest producer, set its alloy adjustment factor for type 304 (4301) flat products at Eur1,301/mt ($1,593/mt) for February, up Eur11 from January but still below December's eight-month high of Eur1,362/mt.
Dollar-denominated nickel prices on the London Metal Exchange slumped to two-month highs below $10,800/mt in early December, but the market has since rallied, pushing above the $13,000/mt level to hit its highest level since June 2015 earlier this month.
The LME nickel cash settlement price has averaged $12,597/mt for January to date, up from $11,409/mt in December.
Outokumpu's surcharge for molybdenum-bearing type 316 (4401) flat products was set at Eur1,960/mt for February, up Eur116 from January to a 10-month high.
Spot molybdenum oxide prices have gone from strength to strength in recent weeks, driven by solid underlying demand and expectations of tight supply.
The S&P Global Platts daily oxide assessment moved above $12/lb last week for the first time since September 2014. Spot prices have risen by 37% since the beginning of December, basis Platts' assessments.
Outokumpu's surcharge for nickel-free type 430 flat products was down, however, off Eur42 from January's level to Eur634/mt.
The European benchmark ferrochrome price was settled at 118 cents/lb for the first quarter of 2018, down 15% from the 139 cents/lb price in the fourth quarter of 2017.
Outokumpu's graphite electrode surcharge on stainless steel products orders in Europe, the Middle East, Africa, Australia and Asia, introduced last September, remained unchanged at Eur20/mt through January. The company has yet to post a February figure.
