US germanium metal market sees slight increase in buying but prices unchanged
2009-10-09 08:55:34 【Print】
PITTSBURGH (Asian Metal) 9 Oct 09 – US germanium prices are stable as the domestic market sees a slight uptick in overall sales this week, market participants note. The US fiscal year, which began last week, is expected to bring an increase in germanium procurement; especially for military and research contracts handed down by the US government.
Prices in the US hover at about USD885-910/kg, unchanged from the previous week. Overall, price levels are down around USD300/kg, however, since the end of Q1 2009.
A medium-sized trader of around 150kg/m of germanium metal in the US market cited current prices at around USD900/kg. The source noted that there had been a jump in spot market purchases in the past week, with previously inactive customers requesting new orders.
“I had a number of customers request immediate shipments of germanium metal in the last week,” the source explained. “The quantities were small – 10-15/kg – but they were clients who had not purchased at all in the past two months.”
Additionally, the source predicted that germanium prices may jump solely because of the weakening dollar, as Chinese producers compensate for the growing disparity in currencies.
“Even though it is not a ‘real’ increase, [germanium] prices should see some increases as the US dollar continues to drop,” the source said.
A US buyer of around 25kg/m of germanium metal received quotes from a few US and Chinese suppliers at USD870-900/kg DDP, but has not made any purchase so far. The source expects to finalize a 20kg buy in the next week, however.
“Prices fell about USD25/kg from our last procurement at the beginning of September,” the source explained. “We are still trying to buy smaller quantities because prices do not seem completely stable yet.”
