[Early Market Strategy] Stainless Steel Nickel

【 Market Analysis 】: Stainless steel strengthened in the afternoon, closing up 0.77% to 15615 yuan/ton. Shanghai Nickel fluctuated during the day, closing 2.23% lower at 179460 yuan/ton. The current trend of stainless steel is stable, with prices exceeding the previous high of 20 days, and the second quarter has entered the demand season. The main factors affecting the current stainless steel panel are: an increase in stainless steel production schedule (1), a stabilization of stainless steel panel prices, and the impact of low raw material prices such as high nickel iron and high carbon nickel iron on steel mills' profits. The immediate profits of steel mills remain positive. Stimulated by profits and prices, stainless steel production continued to increase in May. According to Mysteel, the 300 series saw a year-on-year increase of 13.1%. Small increase or decrease in steel mill inventory (2) The latest weekly inventory data of 78 stainless steel mills showed a slight increase of 6%, marking the first accumulation of inventory since April. It is expected that stainless steel and Shanghai nickel will operate weakly this week after rising

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[Early Market Strategy] Black Metal

【 Market Analysis 】: Yesterday, the black series was slightly weak in operation. According to the news, the average cost of hot metal excluding tax for Tangshan's mainstream sample steel mills this week was 2681 yuan/ton, and the average cost of steel billets including tax was 3494 yuan/ton. The week on week ratio was reduced by 110 yuan/ton. Compared with the factory price of ordinary square billets on May 10th, which was 3470 yuan/ton, the steel mills suffered an average loss of 24 yuan/ton, and the week on week ratio was reduced by 60 yuan/ton. At the industrial level, although the supply and demand pattern of the black industry chain has been partially repaired through price drops to inventory and self-discipline shutdown and maintenance by multiple steel mills, it is still difficult to see a bottom in the face of the decline in total demand and cost collapse in the off-season. The black series may have a rebound in the short term, while the middle line is still likely to be dominated by short positions.

【 Investment Strategy 】: Dealing with Weak Volatility Ideas