Morning Purchases Boost Magnesium Prices, Edging Up Slightly; High Inventory and Weak Demand Suppress Upside Room [SMM Spot Magnesium Ingot Express]

SMM Flash, July 7:

Today, mainstream quotations in the Fugu region for magnesium ingot were 15,800-15,900 yuan/mt; China FOB prices were $2,230-2,350/mt.

Today, magnesium ingot prices stopped falling and rebounded. In the morning, driven by purchases from social speculative capital entering the market, magnesium ingot producers showed a stronger willingness to hold prices firm. Subsequently, the market saw small-scale restocking for rigid demand, and overall transactions improved. Quotations for standard magnesium ingot rose to 15,900-16,000 yuan/mt, while prices for national-standard 99.90% magnesium ingot edged up to 16,000-16,100 yuan/mt. At present, supply remains ample, and producers are holding prices firm and holding back from selling. On the demand side, downstream buyers have not yet shown concentrated restocking, and the pattern of strong supply and weak demand remains unchanged. In the short term, the supply-demand imbalance between high inventory and weak demand persists. Whether prices will continue to rise later will depend on the progress of maintenance implementation at plants and the release of downstream demand.