European ferromolybdenum market still quiet

BEIJING (Asian Metal) 2 Oct 05 – These days, enquiries and concluded deals in the ferromolybdenum market continue to reduce, largely due to weak demand from end-users and the fact that many of the end-users prefer procuring the material on a long-term basis rather than relying solely on spot market resulting in the present situation where the ferromolybdenum 65%min is reportedly being offered in the range USD71-73/kg Mo d.p. and ferromolybdenum 60%min going for USD73-74/kg Mo, the lowest level in two months.

A Swedish trader reported concluding close to a 20t deal for USD73/kg Mo d.u.Asian Metal Copyrightu.Asian Metal Copyright on Monday but feared the price could drop further in view of the ‘dead’ market.Asian Metal Copyrightp.Asian Metal Copyright “It’s very dangerous to confirm orders now as price has the tendency to fall further because buyers will now adopt a ‘wait and see’ attitude towards the market,” remarked the trader.Asian Metal Copyright for the rest of the year.Asian Metal Copyright

An analyst on the market look at the present situation in a broader perspective. “Expected demand for the material has not turned up resulting in the prices that started falling gradually from USD84-85/kg d.Asian Metal Copyright “Expected demand for the material has not turned up resulting in the prices that started falling gradually from USD84-85kg d.Asian Metal Copyrightp. on September 9 to the present level at USD71-73/kg Mo d.Asian Metal Copyright”As it is now, and for the rest of the year, many believed the market will likely be in the range USD70-80kg Mo d.Asian Metal Copyrightp.Asian Metal Copyright Furthermore, small end-users seem to have found a way of obtaining the material directly from producers instead of relying on the spot markets where traders increase prices arbitrarily based on mere increase in enquiries.Asian Metal Copyright,” reasoned the analyst.Asian Metal Copyright“Globally, there is weak demand, continued the analyst, and steel mills cut their target output in the second and third quarters and same is being done in this last quarter.Asian Metal Copyright

“Globally, there is weak demand, continued the analyst, and steel mills cut their target output in the second and third quarters and same is being done in this last quarter. Furthermore, small end-users seem to have found a way of obtaining the material directly from producers instead of relying on the spot markets where traders increase prices arbitrarily based on mere increase in enquiries.Asian Metal Copyright on September 9 to the present level at USD71-73kg Mo d.Asian Metal Copyright These days, truck-load deals is rare in the spot market.”

As it is now, and for the rest of the year, many believed the market will likely be in the range USD70-80/kg Mo d.p.Asian Metal Copyrightp.Asian Metal Copyright for the rest of the year.