SMM7 March 27th: today, the mainstream transaction price of 45% molybdenum concentrate is 2320-2350 yuan / tonnage, which is stable than yesterday. The mainstream transaction price of 60% ferromolybdenum is 15.3-157000 yuan / base ton, up 1500 yuan / base ton compared with yesterday.
Today, the ferromolybdenum market broke the deadlock that lasted for more than a week, and prices rose slightly. SMM believes that the main reasons are as follows:
1. Recently, it has been reported that a molybdenum mine in Northeast China is about to resume work and shipment, and it is generally believed that the selling price of its molybdenum concentrate will be higher than the current market price, and the cost support makes ferromolybdenum manufacturers begin to raise the price.
2. The shutdown in the Jinduicheng mining area in Shaanxi continues, while SMM has learned that its transport roads are blocked, and the expected plan to resume work within 3-5 days has basically failed, which aggravates the tension in the market.
3. The environmental protection supervision team is resident in Liaoning area, which causes many ferromolybdenum enterprises to stop production continuously, which affects the supply and demand pattern of the current ferromolybdenum market to a certain extent, and the supply is tight, which forms a strong support for the rise of ferromolybdenum prices.
At present, only some ferromolybdenum manufacturers raise prices, Luo Mo and Jinduicheng and other industry leaders wait and see for the time being, the market has not yet reached a complete consensus. SMM believes that the current supply-side situation has a vital impact on the ferromolybdenum market, and the next step is to continue to pay attention to the resumption time of the Jinduicheng mining area and the pricing of mines in Northeast China.
