This week, the ferrosilicon Futures market fluctuated and consolidated, and the spot price declined slightly under the pressure; The steel tender in October was nearing the end, and the overall price rose month on month. However, the tender price was lower in the later stage, and the volume was reduced, too. A steel mill in East China priced 8700 CNY/T, which fell 150 CNY/T compared with the representative steel mill in the North. This made a certain impact on the market confidence, and the market sentiment was to be rational, and the cautious mentality was strengthened. In the afternoon of Wednesday, 19th, a news that "the iron furnace production equipment of the Fugu area's semi-coke enterprises would start to stop production and dismantle 50% on the 25th" was spread in the industry, driving the ferrosilicon Futures 2211 contract up 1.04%, but no official document was issued. On Thursday and Friday, the Futures fell again. On the supply side, the production was relatively stable, with the operating rate and daily output rising. On the demand side, due to the loss of steel mills, limited production and maintenance, and some inventory after the recent replenishment, the demand was weakening in the short term, and we should be wary of the supply-demand relationship turning loose again.

The weekly opening price of 2211 main contract was 8,368, the highest price was 8,498, the lowest price was 8,222, the closing price was 8,294, the settlement price was 8,296, the trading volume was 472,829 and the position was 28,403, down 2.29%.

Below are Ferrosilicon Futures main contract daily specific performances:

In terms of downstream steel market, the daily output of crude steel has shown a downward trend in the near future, the demand for ferrosilicon has been suppressed, and the trend of shrinkage may continue in the later period. The black Futures market was low, the steel market was weak, the downstream purchasing enthusiasm was poor, and steel mills tended to reduce the price for shipment. However, as many steel mills have fallen into losses, the possibility of substantial price reduction was also small. Recently, the limited production maintenance of steel mills has increased. The current market sentiment was pessimistic, and the short-term steel price may continue to fluctuate weakly.

This week, the domestic magnesium metal market was weak first and then rose. Due to insufficient demand follow-up, the magnesium price fell slightly in the early week; On Wednesday, influenced by the news of production reduction of Fugu semi-coke, the inquiries and purchases increased. Supported by the cost support and uncertainty of information, the factory had a will to keep price strong, and the magnesium price rose rapidly. However, the downstream demand was insufficient after all, and the acceptance of the high price by the end users was low, so the continued upward mobility of magnesium price was limited. On Friday, the mainstream ex-factory cash quotation including tax of 99.9% magnesium ingots was about 25500 CNY/T.