India: Ferro molybdenum prices inch down amid sluggish demand

• LME futures prices hold steady
  
  
• China's domestic tags edge up
  
  

Indian ferro molybdenum prices were largely stable w-o-w, witnessing a marginal drop of INR 7,000/tonne (t) ($82/t) amid subdued demand. As per BigMint's 18 December 2024 assessment, prices were at around INR 2,537,000/t ($29,873/t) exw-India (60% pro-rata basis). This week, 19 t were traded, within INR 2,554,000-2,545,000/t ($30,073-29,967/t) exw.

Market recap

Domestic market holds firm: Prices remained stable, as sellers' offers saw no changes. However, a major Maharashtra-based seller informed BigMint, "Our offers are unchanged, but we are receiving lower counters due to weak demand in finished products."

Imported molybdenum oxide prices in India were largely stable w-o-w at around $21.5-21.7/lb.

LME futures flat: Prices on the London Metal Exchange (LME) platform stood flat w-o-w at $21.6/lb on 17 December.

Global market steady, except China: While US and European prices for Mo (70%) held firm w-o-w at $51/kg, China saw a slight uptick of RMB 1,000/t ($137/t) w-o-w to RMB 232,000/t ($31,840/t) exw-Inner Mongolia.

Stainless steel market sluggish: Stainless steel prices in India remained range-bound as of 11 December 2024. Flats stayed unchanged, while longs prices saw a minor dip. Demand remained weak, with only need-based buying seen as the year-end approached.

Outlook

Demand recovery is unlikely this month, with any notable movement expected only in the coming months, according to industry sources. Additionally, the recent results of the BHEL auction pose a challenge to any price increase. With the auction's closing price being lower and the market remaining dull overall, ferro molybdenum prices could be under pressure.