Ferrosilicon market situation this week

Spot side

Market quotations vary, and most companies maintain normal production. Some companies deliver early orders and face less pressure in the low-price market. The price of 72 ferrosilicon natural blocks is 6300-6350 yuan/ton, and the price of 75 ferrosilicon natural blocks is 6900 yuan/ton.

Futures side

Today, ferrosilicon futures continued to fall, and the main contract futures 2409 closed down 1.30%, closing at 6394, down 84.

Demand side

The terminal steel market is pessimistic. Due to the widening loss of steel mills, the steel mills maintain a small number of multiple purchases, and the inquiry price is low. At present, the overall order acceptance of downstream traders is relatively general, and most of them are based on on-demand purchases. Although the current market price is already at a low level, the actual transaction has not improved.

Traders

The market purchasing demand of Anyang traders is weak, and downstream steel mills have not given enough confidence in rebounding. The tax-free price of 72 ferrosilicon natural block is about 6,000-6,100 yuan/ton, and the tax-free price of 75 ferrosilicon natural block is 6,600 yuan/ton.

Market outlook

The ferrosilicon market has fallen below the cost line, and the market has turned to consider the possibility of ferrosilicon bottoming out. At the same time, with the announcement of Hegang's inquiry price, the market pessimism has intensified. At the same time, the impact of Ningxia's production reduction expectations has gradually weakened, but the overall willingness of the production area to overhaul has not increased significantly. Pay attention to Hegang's bidding pricing.