Monthly Chrome Market Report July 2018
2018-08-10 14:21:03 【Print】
The following is a brief synopsis of the report. Your access is restricted as it is a subscription based service.
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1. Market Highlights
Generally, the ferrochrome market in June slid continuously. The purchase prices of HC ferrochrome for July from three major steel mills increased sharply by RMB700/t (USD102.2/t) as the total output went down driven by the environmental inspection in June. However, with more and more plants resumed production in July, the tense supply in the market got well improved, but the demand stays soft. So the spot prices keep decreasing in the second half of this month after flattening out relatively in the first half. It is traditional slow season for stainless steel market and the demand for ferrochrome from steel mills is supposed unimproved in the coming month and market participants believe the purchase prices from major steel mills would decline sharply by RMB500-800/t (USD73.0-116.8/t) in August. Prices of ferrochrome would go down in the coming month.
The chrome ore prices at Chinese ports flattened out in the first half of June but went down continuously in the rest. The sharp increase of purchase prices for July gave chrome ore traders confidence to hold their prices firm in the first half of this month. However, the demand stays soft as most ferrochrome producers have their own inventory of chrome ore; besides, the total inventory at Chinese ports stand enormous and it is still rising. As the import prices of chrome began to slide in mid-July, traders had to move down their prices to promote deals. In view of the sharp drop of ferrochrome prices and weak market in August, insiders predict that the weak transaction would hardly be improved and the prices of chrome ore would possibly further slide in August.
Generally, the ferrochrome market in June slid continuously. The purchase prices of HC ferrochrome for July from three major steel mills increased sharply by RMB700/t (USD102.2/t) as the total output went down driven by the environmental inspection in June. However, with more and more plants resumed production in July, the tense supply in the market got well improved, but the demand stays soft. So the spot prices keep decreasing in the second half of this month after flattening out relatively in the first half. It is traditional slow season for stainless steel market and the demand for ferrochrome from steel mills is supposed unimproved in the coming month and market participants believe the purchase prices from major steel mills would decline sharply by RMB500-800/t (USD73.0-116.8/t) in August. Prices of ferrochrome would go down in the coming month.
The chrome ore prices at Chinese ports flattened out in the first half of June but went down continuously in the rest. The sharp increase of purchase prices for July gave chrome ore traders confidence to hold their prices firm in the first half of this month. However, the demand stays soft as most ferrochrome producers have their own inventory of chrome ore; besides, the total inventory at Chinese ports stand enormous and it is still rising. As the import prices of chrome began to slide in mid-July, traders had to move down their prices to promote deals. In view of the sharp drop of ferrochrome prices and weak market in August, insiders predict that the weak transaction would hardly be improved and the prices of chrome ore would possibly further slide in August.
