》Check SMM magnesium spot quotations, data, and market analysis
SMM, June 24: Today, magnesium producers showed a strong reluctance to budge on prices. The mainstream quotations for magnesium ingots in the Fugu region were 16,000-16,100 yuan/mt, with a decrease in low-priced supplies compared to the previous day. Downstream purchase willingness was low, and magnesium prices remained stable amidst a stalemate.
According to a sales executive from a magnesium producer, the magnesium market has recently shown a weakening trend in both supply and demand. Earlier, foreign trade customers flooded the market with large purchases, leading to a continuous decline in magnesium producers' inventories in the main production areas and a tightening supply of magnesium ingot spot cargo. As a result, magnesium producers' enthusiasm for shipping goods has significantly decreased recently, and they generally choose to hold back their supplies.Affected by the collective refusal of magnesium producers to budge on prices, the number of market inquiries has slightly declined. Purchasers are adopting a wait-and-see attitude towards current prices, and market transaction follow-through is severely insufficient. Buyers and sellers are struggling to reach a consensus on transactions, resulting in sluggish overall trading activity. Considering the approaching month-end and the increased capital needs of producers, the current supply-demand stalemate can only be sustained in the short term. Magnesium prices may loosen subsequently.
