Indium market might not rebound so soon

BEIJING (Asian Metal) 7 Jul 06 –Sources think it will take time for the market to tumble because consumer’s interests are not encouraging at all and some participants feel too much attachment to long-term contracts contributes in tying the price down.

Indium is going down judging from the offer in the market going lower every week. A trader source said the last offer he got is around USD700/kg, and he thinks the price will not be going up in a short time as consumers’ interests are down.

According to another trader, , they have not sold anything this week because consumers want to buy at something lower than USD700/kg while some Chinese smelters are not ready to sell at this price although, last week they sold at around USD730/kg.

"I think the price will come to rest at this level since suppliers have started to worry about the low price," said the source. "Even if it will come down it will not be much because at this level suppliers will not be making much gain.Asian Metal Copyright A trader source said the last offer he got is around USD700kg, and he thinks the price will not be going up in a short time as consumers’ interests are down.Asian Metal Copyright"

She confirmed that the market is quiet in Japan for there is no much buying going on and she does not think it is because consumers have bought a lot, they are still buying in good quantities but on contracts.

“Consumers hope for lower price and some of them are tied up in a long-term contracts leaving the spot market vacant,” said the source who has not concluded any deal this week because she could not get material at lower than USD700/kg from Chinese suppliers.

Analysts said we might be seeing steady price for a while because suppliers feel this level is enough to bring back consumers in the market.