[Ferro-Alloys.com] The ferrosilicon trading volume continued staying low this week. The stockpile increased as more and more factory recovered productions, many suppliers lowed their prices already and were willing to make deals. Tender notices of steel mills gave some confidence to ferrosilicon market but declining futures market made them pessimistic. Where the trend will lead, we have to wait and see.

 

Steel: The total stockpile was increased but trading volumes were low, as well as the futures market was declining, anyway, the industry showed in the low season.

 

Iron Ore: The iron ore futures slipped this week, analysts believed that it was earlier than expected. Under the influence of it, traders' attitude was weakened and port quotation declined accordingly. In terms of demand, currently the steel industry is in offseason, and low profit reduced the purchasing enthusiasm of the steel mills, the demand was diffucult to improve. On the supply side, it's nearly definitely that big miners' production of the second half of the year would recover, the whole inventory would be piled up in August but we also have to consider the busy season of steel industry and the influence caused by limited-production, stopped-production and overhaul of iron ore etc. Given all that, the descending of iron ore wouldn't be infinite.

 

Magnesium Metal: Price increased lightly. But the market was not in high demand and kept steadily.

 

Silicon Metal: Recently, the silicon metal market was in a turnround time, the asking price was increased lightly and betan to stay steadily. But due to the actual cost was some high and the utilization of capacity was not high, the stockpile was tightening, factories were unwilling lower their prices. And the next progress was still determined by the downstream.

Below are ferrosilicon futures main contract 1909 daily specific performances:

Date	Opening price	Closing price	Range %	Settlement Price	Trading volume
August 1st	5970	5972	↓0.37	5984	73740
August 2nd	5942	5910	↓1.24	5940	83314
August 5th	5916	5900	↓0.67	5874	119632
August 6th	5906	5896	↑0.37	5906	81642
August 7th	5900	5900	↓0.10	5890	46988
August 8th	5908	5834	↓0.95	5876	84508
August 9th	5846	5882	↑0.10	5856	64482