Monthly Chrome Market Report November 2018
2018-12-12 08:38:37 【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 prices in November slid. Leading mills announced their tender prices of HC ferrochrome for November with a decline of RMB100/t (USD14.5/t) in early this month. HC ferrochrome felt disappointed and had to move down their spot prices accordingly. As stainless steel market entered its traditional slow season, the demand for HC ferrochrome reduced and traders slowed down their purchase as they held negative attitude toward the coming market. Moreover, the chrome ore prices hover at low position at Chinese ports, which gave buyers more reasons to further squeeze the prices. Many smelters in South China halted production due to tight margin, while the operation rate in North, especially in Inner Mongolia, remained at high level, so the market is still well supplied, but the demand stayed soft, and the prices continue to slide in the rest of November. Tender prices for December were released by the end of this month with a decline of RMB50/t (USD7.2/t), smaller than expected, which was good news for HC ferrochrome market, but the demand would hardly see any increase, so it is believed the prices of HC ferrochrome in December would possibly remain stable.
LC ferrochrome prices increased in the first half of this month due to reducing output as environmental inspection started in some major production areas, such as Sichuan and Liaoning. However, as most steel mills finished purchase, LC ferrochrome prices kept sliding amid subdued demand and reducing material cost. More smelters are supposed to resume production in December but the demand would stay weak, so it is predicted the prices of LC ferrochrome would still have room to slide in the coming month.
European ferrochrome prices kept moving down due to subdued demand and fierce competition in November. American ferrochrome market also decreased amid thin spot market activities this month.
In general, chrome ore prices remained relatively stable this week. Due to ongoing sliding HC ferrochrome market in China, smelters became more reluctant to hold large volume of chrome ore in stock and only purchased on rigid demand. The market witnessed weak transactions. Deals were made at low end of the price range of Asian Metal. December HC ferrochrome tenders came out better than expected, but it would hardly encourage smelters to hold more chrome ore as the HC ferrochrome market is still supposed to keep dim in the coming month. However, supported by firm cost, chrome ore dealers refused to further surrender to the prices. It is believed the chrome ore prices at Chinese ports would possibly keep stable in December.
Generally, the ferrochrome prices in November slid. Leading mills announced their tender prices of HC ferrochrome for November with a decline of RMB100/t (USD14.5/t) in early this month. HC ferrochrome felt disappointed and had to move down their spot prices accordingly. As stainless steel market entered its traditional slow season, the demand for HC ferrochrome reduced and traders slowed down their purchase as they held negative attitude toward the coming market. Moreover, the chrome ore prices hover at low position at Chinese ports, which gave buyers more reasons to further squeeze the prices. Many smelters in South China halted production due to tight margin, while the operation rate in North, especially in Inner Mongolia, remained at high level, so the market is still well supplied, but the demand stayed soft, and the prices continue to slide in the rest of November. Tender prices for December were released by the end of this month with a decline of RMB50/t (USD7.2/t), smaller than expected, which was good news for HC ferrochrome market, but the demand would hardly see any increase, so it is believed the prices of HC ferrochrome in December would possibly remain stable.
LC ferrochrome prices increased in the first half of this month due to reducing output as environmental inspection started in some major production areas, such as Sichuan and Liaoning. However, as most steel mills finished purchase, LC ferrochrome prices kept sliding amid subdued demand and reducing material cost. More smelters are supposed to resume production in December but the demand would stay weak, so it is predicted the prices of LC ferrochrome would still have room to slide in the coming month.
European ferrochrome prices kept moving down due to subdued demand and fierce competition in November. American ferrochrome market also decreased amid thin spot market activities this month.
In general, chrome ore prices remained relatively stable this week. Due to ongoing sliding HC ferrochrome market in China, smelters became more reluctant to hold large volume of chrome ore in stock and only purchased on rigid demand. The market witnessed weak transactions. Deals were made at low end of the price range of Asian Metal. December HC ferrochrome tenders came out better than expected, but it would hardly encourage smelters to hold more chrome ore as the HC ferrochrome market is still supposed to keep dim in the coming month. However, supported by firm cost, chrome ore dealers refused to further surrender to the prices. It is believed the chrome ore prices at Chinese ports would possibly keep stable in December.
