SMM Weekly Forecast on China's Selenium Market (Sept. 19-23, 2011)

SHANGHAI, Sept. 16 (SMM) --

Market Review:

Mainstream traded prices of selenium dioxide were around RMB 780/kg, and mainstream traded prices of selenium powder were in the RMB 1,100-1,130/kt this week. According to SMM sources, although operating rates at EMM producers increased and demand for selenium dioxide was becoming positive, transactions for selenium dioxide were still quiet due to sluggish condition in EMM market. Currently, mainstream traded prices for selenium dioxide were around RMB 780/kg. Due to tight supply of selenium powder and firm selenium dioxide prices, selenium powder prices slightly advanced to RMB 1,100-1,130/kg.

Market Forecast:

SMM believes that domestic selenium prices will remain stable between RMB 780-785/kg in the following week, considering weak EMM prices but growing demand for selenium dioxide in the following week. Prices for selenium powder will be firm, and will be between RMB 1,100-1,130/kg in the following week.