Rare earth prices continue to rise, putting pressure on transactions in the metal market [SMM Rare Earth Daily Review]

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SMM reported on July 7: Today, the prices in the rare earth market have risen significantly. Specifically, in the oxide market, the price of Pr-Nd oxide has increased to 450,000-452,000 yuan/mt, dysprosium oxide to 1.65-1.66 million yuan/mt, terbium oxide to 7.16-7.2 million yuan/mt, and gadolinium oxide to 164,000-165,000 yuan/mt. Holmium oxide prices have risen to 525,000-530,000 yuan/mt, while erbium oxide prices continue to fluctuate between 306,000-310,000 yuan/mt.

In the metal market, the price of Pr-Nd alloy has increased to 550,000-555,000 yuan/mt, dysprosium-iron alloy to 1.59-1.61 million yuan/mt, terbium metal to 8.85-8.9 million yuan/mt, and gadolinium-iron alloy to 158,000-160,000 yuan/mt. The market price of holmium-iron alloy remains stable at 525,000-530,000 yuan/mt, while the price of lanthanum-cerium alloy continues to stabilize at 17,000-19,000 yuan/mt.

Currently, the prices in the rare earth market have risen significantly, mainly due to the sustained procurement by top-tier enterprises, which has boosted the market's bullish sentiment. Meanwhile, due to environmental protection efforts in Jiangxi, some separation plants have halted operations, leading to a tight supply in the oxide market. Combined with the concentrated procurement actions of top-tier enterprises, suppliers have raised their quotes. In the Pr-Nd alloy market, the price of Pr-Nd has risen significantly due to the increase in oxide costs and the impact of procurement by large magnetic material enterprises. However, the medium-heavy rare earth metal market has been affected by weak end-use demand, with magnetic material enterprises showing weak demand for medium-heavy rare earth metals. Despite metal enterprises raising their quotes based on oxide costs, actual transaction volumes have been unsatisfactory. Some suppliers have chosen to sell at lower prices to facilitate transactions, leading to a divergence in market quotes and a strong wait-and-see sentiment. Overall, the focus of rare earth transactions is concentrated in the oxide sector, while the metal market, affected by demand, has seen average actual transaction volumes and remains under sustained pressure. It is expected that in the short term, driven by market sentiment, rare earth prices will continue to hold up well.