Silicon metal prices are expected to fluctuate rangebound in the short term amid unchanged fundamentals

This week, mainstream spot silicon metal prices remained stable. As of November 7, the prices of standard #553 silicon metal in east China were 11,600-11,700 yuan/mt, up 50 yuan WoW, above-standard #553 silicon metal were 11,700-12,000 yuan/mt, flat WoW, 421# silicon (for silicone) were 12,700-13,000 yuan/mt, flat WoW, and 3303# silicon were 12,800-12,900 yuan/mt, flat WoW. In the spot market, silicon enterprises maintained firm quotes. In south China, silicon enterprises in Sichuan and Yunnan were reluctant to sell due to higher costs during the dry season, while small and medium-sized silicon enterprises in Xinjiang focused on delivering new standard goods. Although transactions in other north-west China regions were mediocre, inventory pressure was low, and quotes remained stable. In the futures market, the SI2412 contract declined mid-week due to macro and capital sentiment, with the lowest price on Thursday reaching 12,480 yuan/mt. The warehouse warrant price of 421# silicon in east China and port areas fell below 12,000 yuan/mt, increasing liquidity due to price advantages.

Recently, macro sentiment and capital policies have impacted the silicon metal futures market. The fundamentals of silicon metal remain unchanged, and the spot prices of silicon metal are expected to fluctuate rangebound in the short term.