[Ferro-Alloys.com]

 

[Raw Material] The ex-factory quotation for small-sized semi coke was about 800-950 CNY/T; The factory price of silica was around 180-260 CNY/T; The price of oxide skin was around 950-980 CNY/T; The electricity prices ranged from 0.41 to 0.52 CNY//kWh.

 

[Spot Market] This week, the futures market saw a slight consolidation, and with increased support on the cost side, the released demand for replenishment from steel mills before the holiday (one local steel mill in South China set its tender price for 72# ferrosilicon at 6850 CNY/T, an increase of 200 CNY/T compared to last month), and the improvement in market sentiment, the spot price operated firmly, with the quotation for 72# ferrosilicon standard blocks risen to around 6500 CNY/T, while the quotation for 75# ferrosilicon standard blocks around 6800-7000 CNY/T. The company's profit margin was better and inventory pressure has been alleviated, and the willingness to resume production of factories was increasing. Many believed that the operating rate and output would rebound in the near future. The short-term trend of ferrosilicon was expected to continue to be strong, but whether it can continue to remain strong in the future still requires attention to changes in supply and demand relationships.

 

[Futures Market] The opening price of 2406 main contract was 6714, the highest price was 6876, the lowest price was 6574, the closing price was 6718, the settlement price was 6782, the position was 101686, the trading volume was 846427, and the transaction amount was 28.4731 billion yuan, an increase of 0.69%.

 

 

Below are Ferrosilicon Futures main contract daily specific performances:

 

Date	Opening price	Highest price	Lowest price	Closing price	Settlement price	Range	Trading volume	Positions	Trading value (10000’ tons)
4.22	6714	6798	6680	6756	6742	1.26%	148138	157904	499384.28
4.23	6748	6748	6574	6586	6654	-2.31%	123851	150619	411976.52
4.24	6604	6810	6604	6682	6704	0.42%	211298	139123	708179.06
4.25	6732	6812	6666	6754	6740	0.75%	169081	126001	569817.88
4.26	6754	6876	6664	6718	6782	-0.33%	194059	101686	657948.97

 

[Demand Market] This week, steel prices fluctuated, with strong support from the cost side, inventory has continued to decline, and the profitability of steel mills has improved. Market sentiment lightened to some extent. According to data from the CISA, in mid April 2024, key steel enterprises produced a total of 21.1876 million tons of crude steel, with a daily crude steel production of 2.1188 million tons, a month on month increase of 0.33%; At the end of mid April, the steel inventory of steel enterprises was about 18.1161 million tons, a decrease of 137700 tons or 0.75% compared to the previous ten days (i.e. early April); A decrease of 1.4176 million tons or 7.26% compared to the same period last month; In mid April, the social inventory of 5 varieties of steel in 21 cities was 12.37 million tons, a decrease of 710000 tons compared to the previous month, a decrease of 5.4%. In the short term, the steel market is expected to continue to fluctuate, but downstream acceptance of high prices is not high, and the range of rise and fall will be limited.

 

In the early part of this week, the domestic magnesium market was operating steadily, but in the later stage, due to weak downstream demand, cold inquiries, and weak high-price transactions, factories adjusted their prices accordingly. In the short term, there is still pressure on the operation of the magnesium market in a state of strong supply and weak demand, which may lead to weak consolidation. On Friday, the mainstream ex-factory cash quotation including tax of 99.9% magnesium ingots in Fugu area was around 18400 CNY/T. Follow up on demand and transaction status.