SiMn futures fluctuated upward, market sentiment improved [SMM SiMn Futures Review]

SM2603 contract opened at 5,978 yuan/mt and closed at 6,000 yuan/mt, up 2.08%. The daily highest price was 6,074 yuan/mt, and the lowest price was 5,918 yuan/mt. Trading volume was 317,100 lots, and open interest stood at 284,324 lots. Today, SiMn futures prices rose after opening with volatile movements, while spot prices remained steady, and market sentiment was warm. Cost side, core raw material manganese ore market prices remained high, and traders' offers stayed firm, with transaction prices for manganese ore edging up slightly. Supply side, newly added SiMn furnaces in the main northern producing regions started production earlier, increasing general silicon manganese capacity, and alloy plants maintained stable operations. Operating rates at alloy plants in south China remained stable but low. It is understood that the strength of Guangxi’s electricity price preferential policy for 2026 remains to be verified, and most plants continue to maintain off-peak production. Demand side, the current period marks the start of winter stockpiling by downstream steel mills, and short-term demand drivers may provide support, pending the release of this month's new round of SiMn tender prices from downstream steel mills. The current SiMn market holds up well with fluctuations, and close attention to fundamental supply-demand conditions is still needed.