SMM Weekly Review: Magnesium Prices Extend Declines amid Falling Raw Material Prices

Published: Nov 25, 2022 17:06 (GMT+8)

Source: SMM

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SHANGHAI, Nov 25 (SMM) - The magnesium market still performed poorly this week, and the market quotations showed a downward trend.

SHANGHAI, Nov 25 (SMM) - The magnesium market still performed poorly this week, and the market quotations showed a downward trend. As of this Friday, the price of Mg90% magnesium ingots in Fugu county, Shaanxi province, dropped 500 yuan/mt from the beginning of the week. Under the influence of the continuous decline in raw material prices, magnesium prices also fell rapidly amid strong bearish sentiment.

The price of coal and ferrosilicon continued to drop this week. High inventory dented the bargaining power of magnesium plants. Market players are generally pessimistic over the magnesium market in December. Given the high inventory, magnesium prices will barely find support, even if producers cut production.

Magnesium prices will remain in a downward track, if raw material prices continue to fall next week.

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