Silicon prices fell this week and may stabilize next week amid stagnant market activity as Chinese New Year is drawing near

Market review: Industrial silicon spot prices have been weak this week. As of Feb 1, the prices of standard #553 silicon metal in east China lost 50 yuan/mt on a weekly basis to 14,800-14,900 yuan/mt, those of above-standard #553 silicon metal dropped 100 yuan/mt to 14,900-15,100 yuan/mt, those of #441 silicon metal were 15,200-15,300 yuan/mt, those of #421 silicon metal for use in silicone declined 200 yuan/mt to 15,600-15,800 yuan/mt, and those of #3303 silicon metal were flat at 15,500-15,700 yuan/mt. Pre-holiday purchases by downstream users have basically ended, and a small number of on-demand and post-holiday delivery orders were transacted during the week.
As the Spring Festival approaches, truck transportation is tense and freight rates are rising. Some silicon plants, downstream producers and traders have already closed for the CNY holiday. Market transactions will almost stagnate next week. Spot prices may barely change before the holiday while futures prices may swing on a weak note.