Indian ferro molybdenum prices continued its fall and dropped further by INR 53,000/t ($631/t) as compared to the previous assessment on 7 August. Limited inquiries prompted panic sales which resulted in the price drop.
As per BigMint’s assessment on 14 August, ferro molybdenum prices in India were INR 2,446,000/t ($29,141/t) exw-Nagpur on a 60% pro rata basis. Around 80-90 t of deals were reported to BigMint last week in the price range of INR 2,425,000-2,455,000/t ($28,891-29,248/t) exw.
Market highlights
Unchanged demand conditions: The demand situation in the domestic market didn’t saw any improvement in last week as well. As a result, few panic sales were done in anticipation of further fall in prices.
A producer was quoted as saying to BigMint, “There’s panic and distress in the market currently as global index is going down daily.”
Sources informed that the price of imported molybdenum oxide in the last week fell to $20.8-$20.9/lb, compared to $21.6-$21.7/lb the week before.
Global price trends: Ferro molybdenum (Mo:60%) prices in China saw an uptick of RMB 2,000/t ($280/t) w-o-w to RMB 237,000/t ($33,129/t) exw-Inner Mongolia. The supply-demand situation for raw material remained tight.
Prices in US (Mo:70%) dropped by $4/kg w-o-w to $51/kg. Prices in Russia (Mo:60%) fell too by 300/t RUB ($3/t) w-o-w to 2,595/t RUB ($29/t).
A slight drop of $0.61/pound w-o-w was also seen in London Metal Exchange (LME) platform to $20.87/pound on 13 August.
Outlook
As the current market indications show, prices are likely to undergo further downward adjustments in the days ahead.
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