Rare earth prices extend increases amid upbeat sentiment

SHANGHAI, Aug 6 (SMM) – Spot prices of major rare earth products continued to trend upwards as key producers firmed up offers amid rallied market confidence. 

State-owned China Southern Rare Earth Group on Monday August 5 raised its weekly listed prices for several rare-earth oxides, including dysprosium oxide, terbium oxide, and gadolinium oxide. This grew bullish sentiment in the spot market. 

A rapid escalation in US-China trade war also bolstered prices of rare earth, a critical strategic resource. 

SMM assessment showed that prices of neodymium oxide gained 7,000 yuan/mt from Monday, to stand at 309,000-314,000 yuan/mt on Tuesday August 6, and prices of praseodymium-neodymium oxide also climbed 7,000 yuan/mt on the day, to 307,000-312,000 yuan/mt. 

Quotes of terbium oxide stood at 3.96-4 million yuan/mt on Tuesday, up 40,000 yuan/mt from Monday, and quotes of dysprosium oxide at 1.93-1.95 million yuan/mt, up 25,000 yuan/mt, SMM assessed. 

Macroeconomic development and tight supply of raw materials are expected to sustain growth in rare earth prices this week.