- Chinese prices edge up w-o-w
- LME futures largely steady
Indian ferro molybdenum prices edged up by INR 35,000/t ($382/t) in comparison to the assessment on 14 January. Steady demand in the domestic market and global price hike were the key factors pushing prices.
Ferro molybdenum prices in India were INR 2,975,000/t ($32,494/t) exw-India, as per BigMint’s assessment on 21 January. Approximately 45 t of trades were concluded last week in the range of INR 2,840,000-3,000,000/t ($31,019-32,767/t) exw.
Market summary (15-20 January)
Uptrend in global prices: Ferro molybdenum (Mo:60%) prices in China increased by RMB 5,000/t ($718/t) w-o-w to RMB 260,500/t ($37,422/t) exw-Inner Mongolia. Supply issues at overseas molybdenum mines kept raw material prices high, which continued to support production costs. At the same time, some steel mills increased buying to restock, leading to better market activity. With higher costs and ongoing buying interest, producers became more confident in holding prices, resulting in a small price rise.
In the short term, prices are likely to remain at higher levels. High raw material costs and low inventories are supporting the market, and sellers are keen to keep prices stable. However, there is a growing risk that steel mills may slow their purchases.
European market (Mo:70%) also saw slight uptick of $0.7/kg w-o-w to $57/kg. However, in US (Mo:70%), it fell by $1/kg w-o-w to $57/kg.
Steadiness in LME futures: On the London Metal Exchange (LME), molybdenum futures stayed largely, going down marginally by $0.3/lb w-o-w to $23.32/lb on 20 January 2025.
Indian market scenario: The ferro molybdenum market in India remained supported during the week, influenced by a rise in global prices. Sellers increased their offers in line with international trends, while steady trading activity helped keep prices firm.
At the same time, the stainless steel market stayed stable, supported by higher global cost pressures, volatile raw material prices, and a strong US dollar. Prices for 316-grade stainless steel were reported at higher levels, backed by rising alloy costs and relatively tighter material availability.
Outlook
Ferro molybdenum prices in the coming week are expected to stay at current levels backed by steady demand and global cost support.
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