European ferromolybdenum market fairly active
2011-12-22 13:50:28 [Print]
BEIJING (Asian Metal) 22 Dec 11 – Despite the holiday mood, ferromolybdenum market remains fairly active with deals being concluded in the range of USD32.25-32.80/kg Mo d.p. in warehouse Rotterdam and, according to participants, the slowdown in buying activity at the beginning of the week did little to soften price to make traders nervous.
Mid-week, Asian Metal confirmed a truckload business done to an end-user at below USD32.70/kg Mo d.d.p. (delivered duty paid) with payment terms and a trader added the company also sold 5-10t to an end-user in the range of USD32.25-32.65/kg Mo d.p. in warehouse Rotterdam.
Also citing a 15t ferromolybdenum material reportedly bought by a Polish end-user at around USD32.80/kg, a European dealer observed it is now difficult to get quotations for prompt delivery material as traders hold back offers and just as it is uncertain how much demand there is early next year.
Also holding back quotations are Western molyoxide suppliers but mainstream prices in the range of USD13.30-13.60/lb might not change in the short term as converters are unsure if ferromolybdenum price could rise well enough to be able to achieve some reasonable margins.
And on the future trend, insiders have pointed to the fact that ferromolybdenum prices concluded at around USD31.80/kg Mo d.p. in the same period last year and depending on strong demand, price could also rise in the first week to well above USD33.00/kg Mo d.p., all things being equal although credit facility was not as tight as it appears to be now.
Mid-week, Asian Metal confirmed a truckload business done to an end-user at below USD32.70/kg Mo d.d.p. (delivered duty paid) with payment terms and a trader added the company also sold 5-10t to an end-user in the range of USD32.25-32.65/kg Mo d.p. in warehouse Rotterdam.
Also citing a 15t ferromolybdenum material reportedly bought by a Polish end-user at around USD32.80/kg, a European dealer observed it is now difficult to get quotations for prompt delivery material as traders hold back offers and just as it is uncertain how much demand there is early next year.
Also holding back quotations are Western molyoxide suppliers but mainstream prices in the range of USD13.30-13.60/lb might not change in the short term as converters are unsure if ferromolybdenum price could rise well enough to be able to achieve some reasonable margins.
And on the future trend, insiders have pointed to the fact that ferromolybdenum prices concluded at around USD31.80/kg Mo d.p. in the same period last year and depending on strong demand, price could also rise in the first week to well above USD33.00/kg Mo d.p., all things being equal although credit facility was not as tight as it appears to be now.
Ferro-molybdenum 65%min IW Rotterdam
Unit:USD/kg Mo
China ferromolybdenum producers' inventory to production ratio statistics by province by month
Unit: %
