The prices were mainly in line with market expectations, with most participants expecting demand to return.
Confidence appeared to be returning to the domestic Ferro Chrome market, with price increasing by INR 1,000/MT from last week’s level, and is currently being offered at INR 91,000/MT.
Today, two major Stainless Steel mills in China – Baosteel and Taiyuan Iron & Steel (TISCO) have also declared their purchasing price for HC Ferro Chrome for March’17 deliveries, which is unchanged from the previous month.
Spot prices for imported Ferro Chrome into China remained unchanged W-o-W. Currently, the offers for export remain unchanged in the range of 102-104 cents/lb CNF China. Market participants expect support for Ferro Chrome spot prices in China after China’s stainless steelmakers rolled over purchase prices for March’17. Earlier, the Chinese buyers were holding back on their purchases, waiting for the major Stainless steel mills to declare their purchase price, which was widely expected to be lower. However, the rolling over of purchase price by Baosteel and TISCO will lend support to Chinese traders in inquiring for material.
No spot deals were reported this week between India and Japan as Japan has very little spot requirement. Indian HC Ferro Chrome offers are in the range of 109-111 cents/lb CNF Japan and 108-110 cents/lb CNF South Korea.
On the future outlook, demand is expected to improve as the Ferro Chrome buyers which were waiting for clear direction to conclude deals could now be active.
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