India: Ferro molybdenum prices range-bound amid stable market conditions

• Fewer inquiries reported in domestic circuit
  
  
• Stability in global, LME prices
  
  

Indian ferro molybdenum prices remained range-bound over the previous week with some fluctuations. Prices increased by INR 41,000/tonne (t) ($489/t) w-o-w compared to the assessment on 14 August, but the overall market remained stable.

As per BigMint's assessment on 21 August, ferro molybdenum prices in India were INR 2,487,000/t ($29,640/t) ex-works Nagpur on a 60% pro rata basis. Last week, a few deals of around 5 t were reported within the price range of INR 2,380,000-2,400,000/t ($28,364-28,603/t) ex-works.

Weekly market summary

Market adjusts amid softening demand: Ferro molybdenum prices began to rise in the initial part of last week after previous declines. This upward movement appeared to be a general market adjustment rather than driven by any specific factor. A producer told BigMint, "Before 15 August, inquiries had increased. However, this week is expected to be quiet and slow, as market demand has softened."

The price of imported molybdenum oxide remained steady w-o-w at around $20.7-20.9/lb, according to sources.

Global market scenario: Ferro molybdenum (Mo:60%) prices in China were unchanged w-o-w at RMB 237,000/t ($33,211/t) exw-Inner Mongolia. Steel mills in Hebei, Sichuan, Guangdong recently announced their bidding prices in the range of RMB 234,500-235,000/t ($32,861-32,931/t).

Prices in Europe and the US (Mo:70%) also remained stable with a slight w-o-w uptick of $0.5/kg each to $51kg and $52/kg, respectively. A slight increase of $0.04/pound w-o-w was also seen in London Metal Exchange (LME) platform to $20.91/pound on 20 August.

Outlook

Current market indications suggest volatility, with potential upward or downward variations in the days ahead. However, a sharp movement is less likely.