Chinese ferro silicon prices remain stable w-o-w on cautious market sentiments

The market for ferro silicon remained unchanged as the players adopted a wait-and-see approach. The factors that impacted the market were:

Unaltered prices:

75% silicon content: Prices remained unmoved this week reaching RMB 6,660-6,840/t ($921-$946/t) ex-works, including tax.

72% silicon content: Prices were constant, settling in the range of RMB 6,270-6,460/t ($867-$893/t) ex-works, including tax.

Watchful market approach: It seemed like the ferro silicon market has experienced a period of stability with a boost in industry confidence due to positive information.

However, downstream procurement remained cautious, leading to a market where supply and demand are in a stalemate.

Market awaits new price announcements: Without significant growth in overall demand, it's understandable that the iconic steel company hasn't issued new ferro silicon inquiry prices. It seems like stakeholders waited for clearer signals before making significant moves.

Weak demand: The market demand for ferro silicon faced challenges, with weak support for raw material prices and a slightly downward trend in market operations.

Outlook

Confidence in ferro silicon on the supply side remained pessimistic. Considering the macroeconomic trends, it's expected that ferro silicon futures and demand will continue their sluggish trend, making it difficult for prices to rebound in the near term.

This suggests a continued period of caution and monitoring for stakeholders in the ferro silicon industry.

Note: This article has been written in accordance with an agreement between CBC and BigMint.