120000 yuan a ton is not out of reach? The price of tungsten rises, and the agency says strategic metals usher in a revaluation.

Recently, tungsten metal has stepped out of a strong market. Last week, the center of gravity of the tungsten price moved up, and the tungsten price at the end of the raw material was high and strong. The price of tungsten concentrate has increased slightly. According to China Tungsten online, in the medium to long term, with the expansion of domestic demand to pull the economy to maintain a healthy level, while domestic demand drives the front end of the alloy to remain strong, the price of tungsten ore reaching 120000 yuan / ton is not out of reach.

However, China Tungsten online also suggested that the rise in tungsten prices over the past month can be understood as a lag in the previous surge in commodity prices, while waiting to see the actual supply and demand situation in the market is not optimistic. Although the sentiment of holding up the raw materials driven by miners reduces the low resources in the spot market, as prices rise, the market profits accumulate, which may lead to market readjustment. At least the storage of tungsten concentrate inventory by the state and the APT inventory left by Pan-Asia are still two sharp swords hanging in the market. Of course, the former exists for the reserve of strategic resources and the regulation of the market, and the degree of investment will not have a great impact on the market.

At present, although some traders have profit-taking sentiment, but spot low resources are still difficult to find, smelters and downstream users pay equal attention to feedback costs and demand pressure, and the market is mainly cautious and rising in the short term. At present, the price of tungsten concentrate remains stable, and under the support of the firm mentality of holders and the tight spot pattern, the price of tungsten concentrate remains at a high level, testing to 108000 yuan / ton, and the current situation of the game between supply and demand in the market has not changed significantly for the time being.

Li Chao of Citic Securities said that the revaluation of strategic metals is under way at this point in time, and rare earth prices or trends are on the rise. Policies such as the rare Earth regulations in the third quarter may be gradually introduced, with the rise of risk appetite under the superimposed liquidity easing, and under the resonance of supply and demand, policy and liquidity, the value revaluation of rare earth plate and tungsten plate, which is also a strategic resource with Chinese characteristics, is still under way. Core targets with resource attributes are the most beneficial.

Recently, A-share tungsten resources industry chain has several enterprises issued performance forecasts, the growth momentum is good. On July 13, China Tungsten Hi-Tech announced that net profit in the first half of the year was expected to increase by 74%, 98%, and then accumulated by 24% in the next five trading days. On July 19th, Xiamen tungsten industry reported results KuaiBao said that first-half net profit rose 193% from a year earlier, and its share price jumped 6.6% yesterday, reaching a 10-year high.