Manganese ore market still firm in South America
2010-02-09 08:40:06 【Print】
PITTSBURGH (Asian Metal) 9 Feb 10 – Medium-grade manganese ore pricing continues relatively unchanged through the week as the market quiets down before the Chinese New Year. Few deals are expected to be booked from now until the start of the holiday which begins next week.
44%min ore out of Brazil continues at approximately USD4.5-4.6/dmtu FOB Brazil, which has held for the past three weeks approximately.
The manganese ore market will enter a crucial time in the weeks following the Chinese New Year at the end of February. Imports of manganese ore into China, which have kept strong for the past four months at over one million tons, could go either way after the holiday depending on the pace of growth of the Chinese economy.
One Brazilian trader, who had a prospective 5,000t/m contract with a Chinese buyer fall through at the end of last week, thought that demand would continue strong through the upcoming weeks. The source has so far not concluded any sales of ore this year, but moved about 2,500t/m in 2009.
“We had a good deal going with a Chinese buyer at USD6.0/dmtu CIF China for 44%min ore, but the client backed out because they said they could get it at USD5.9/dmtu,” the source said. “The Chinese are still bargaining hard, but there are plenty of buyers out there nevertheless.”
Another Brazilian trader booked a small 2,000t spot sale with a Chinese buyer last week at USD4.5/dmtu FOB Brazil for 44%min ore. The source speculated that there could be a general manganese ore market deceleration if the Chinese economy slowed down as well.
“There are some indications that the Chinese economy could slow down if inflation gets out of control or they raise interest rates,” the trader said. “The short-term is good, but the long-term is pretty cloudy.”
44%min ore out of Brazil continues at approximately USD4.5-4.6/dmtu FOB Brazil, which has held for the past three weeks approximately.
The manganese ore market will enter a crucial time in the weeks following the Chinese New Year at the end of February. Imports of manganese ore into China, which have kept strong for the past four months at over one million tons, could go either way after the holiday depending on the pace of growth of the Chinese economy.
One Brazilian trader, who had a prospective 5,000t/m contract with a Chinese buyer fall through at the end of last week, thought that demand would continue strong through the upcoming weeks. The source has so far not concluded any sales of ore this year, but moved about 2,500t/m in 2009.
“We had a good deal going with a Chinese buyer at USD6.0/dmtu CIF China for 44%min ore, but the client backed out because they said they could get it at USD5.9/dmtu,” the source said. “The Chinese are still bargaining hard, but there are plenty of buyers out there nevertheless.”
Another Brazilian trader booked a small 2,000t spot sale with a Chinese buyer last week at USD4.5/dmtu FOB Brazil for 44%min ore. The source speculated that there could be a general manganese ore market deceleration if the Chinese economy slowed down as well.
“There are some indications that the Chinese economy could slow down if inflation gets out of control or they raise interest rates,” the trader said. “The short-term is good, but the long-term is pretty cloudy.”
