The domestic ferrosilicon market continued to operate weakly this week, the willingness of the supply side to sell out was strong, while the downstream inquiry was relatively negative. In addition, the price of semi-coke was callback to about 1700-1900 yuan per ton, and there was still room for further callback. The spot price of ferrosilicon continued downward under pressure, the market mentality was affected, and the cautious wait-and-see mood was strong. When the heating season comes, considering that many steel mills in the North may cut production, the bidding volume was expected to decline. The steel bidding volume and price of representative steel mills decreased significantly in November, but it also made the situation clear. The ferrosilicon transaction may improve next.

The opening price of 2201 main contract of ferrosilicon futures this week was 11,360, the highest price was 11,396, the lowest price was 9,534, the closing price was 9,548, the settlement price was 9,780, the trading volume was 1,406,685, and the position was 84,917, an decrease of 14.28%.

According to the statistics of China Iron & Steel Association (CISA), in late October 2021, key  iron and steel enterprises produced 19.0887 million tons of crude steel, with a daily output of 1.7353 million tons, a month on month decrease of 7.43%; In October, key iron and steel enterprises produced 1.8272 million tons of crude steel per day, a month on month decrease of 5.60% and a year-on-year decrease of 15.99%. In late October, the steel inventory of iron and steel enterprises was 12.8449 million tons, a decrease of 1600 tons or 0.01% compared with the previous ten days; an increase of 890500 tons or 7.45% compared with the end of last month; an increase of 1.2239 million tons over the beginning of the year, an increase of 10.53%; Compared with the same period last year, it increased by 697100 tons, an increase of 5.74%. In late October, the social inventory of 5 major varieties of steel in 20 cities was 9.69 million tons, a month on month decrease of 470000 tons, a decrease of 4.7%, and the inventory decreased continuously; 960000 tons less than that in late September, down 9.0%; An increase of 2.39 million tons over the beginning of the year, an increase of 32.7%; Compared with the same period last year, it decreased by 1.58 million tons, a decrease of 14.0%. This week, although the steel price still fell mainly, the trading volume improved slightly and the market pessimism eased to some extent

This week, the domestic metal magnesium market was first decreased and then increased. Affected by the continuous poor downstream demand, the quotation decreased from 33000 yuan per ton at the beginning of the week to 27000 yuan per ton in the middle of the week. Some users replenished at low prices, and the factory inventory was not much. The price was callback to about 30000 yuan per ton on Friday.The ex-factory cash quotation including tax of 99.9% magnesium ingots in Fugu area was about 30000-31000 yuan per ton and it still lack of sufficient positive support in the short term.