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[Minor metal] Forecast of Domestic Manganese Market Next Week

iconMay 8, 2009 00:00

SHANGHAI, May 8 (CBI China) -- Recently, refined manganese price tracked the price trend of nickel and stainless steel. The market was in balance, and the price was around the cost level at most of producers, which determined the price basis of refined manganese. The recent rise in nickel price or stainless steel price was due mainly to the sentiment of suppliers, monopoly control, speculations and other non-market factors, and the remained manganese price will be affected by the price trend of nickel and stainless steel. In this context, if nickel and stainless steel prices pick up due to market speculations, refined manganese price will follow suit, with increasing possibility of sharp declines in the future and increasing market risks, which will be harm to the market and manganese producers. The reasonable price of refined manganese should be in the RMB 12,400-13,000/mt range, and the producers should adopt cautious attitude toward the operation if the price exceeds this level.

 

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