[Ferro-Alloys.com]This week, HBIS Group finalized the tender price of ferrosilicon 75B in December at 8700 CNY/T, up 50 CNY/T from last month, slightly exceeding expectations, which brought some confidence to the market. The spot market of ferrosilicon was relatively stable, and the quotation remained firm without significant fluctuations. In November, the national ferrosilicon output was about 470000 tons, a slight increase compared with that in October. At present, the supply side remained stable, but there was still an increase expectation. At present, the spot inventory of the manufacturer was low, however, the transaction situation still needed to be strengthened, and the market sentiment was still based on rational wait-and-see. Focus on market supply and demand performance and Futures market trend.

This week, the price of Ferrosilicon Futures declined first and then rose. The opening price of 2301 main contract was 8,614, the highest price was 8,664, the lowest price was 8,276, the closing price was 8,636, the settlement price was 8,566, the trading volume was 826,423, and the position was 143,725, up 2.13%.

Below are Ferrosilicon Futures main contract daily specific performances:

In the downstream, according to the data of CISA, the average daily output of crude steel of key steel enterprises in late November was 2028500 tons, an increase of 1.32% month on month; By the end of late November 2022, the steel inventory was 15.3039 million tons, 1.9962 million tons less than the previous ten days, 11.54% less; In late November, the social stock of five major varieties of steel in 21 cities was 7.39 million tons, a month on month decrease of 120000 tons, or 1.6%, and the decline continued to narrow. Under the time of winter storage, the output of the supply side picked up slightly, and the inventory pressure was not large, but the terminal demand based on procurement. Apparent consumption declined slightly under the influence of the off-season, and the cumulative pressure on steel inventory gradually increased. This week, with the volatility of Futures, spot prices in some regions have slightly increased. However, considering the ability and willingness of the downstream to accept high prices, steel prices increasing were still under pressure, and the policy of winter storage was not yet clear. The market was cautious, and the short-term steel market would continue to maintain a volatile pattern.

This week, the magnesium market has stabilized and warmed up, and the transaction atmosphere has improved. However, the supply and demand pattern has not been substantially improved. After the price rise, the downstream demand has weakened again. The factory quotations decreased under pressure, and the magnesium market may continue to operate in a weak consolidation in the short term. On Friday, the mainstream ex-factory cash quotation including tax of 99.9% magnesium ingots was about 22100-22200 CNY/T. Focus on demand follow-up and transaction.

• [Editor:kangmingfei]