[Ferro-Alloys.com]As has been the case for the past few weeks, the western indium market remained mostly at a standstill as few buyers reported sales. According to sources, buyers seem well positioned and are unlikely to add inventories prior to the New Year. Prices for indium remain at $680-700 per lb, primarily due to the ongoing stockpiling by the Fanya Exchange in China. “I really haven’t had any new sales,” said a source. “Inquiries are limited because buyers do not seem eager to buy.” According to many sources, the stockpiling stance in China remains questionable as overall volumes seem excessive. “It’s quite alarming - the volumes that are being reported,” said a source. “They are outpacing global production; it makes no sense.” Other participants have noted that contract negotiations have been adjusted from 12-months to 6-months because of limited market information. “Fanya’s activity is questionable; I don’t see much validity to what’s being reported,” concluded a source.

The Chinese indium market held the firming trend earlier last week, boosted by investment buying. Despite the stockpiling stance, prices did not follow the same accentuated rise as spot supplies remained easily accessible. Spot prices for 4N indium metal are currently 4,550-4,650 yuan per ($748-765) kg VAT included. Some suppliers are reportedly willing to sell to add cash before the year end, and as a result, causing spot supply to increase. The Chinese domestic market is expected to continue holding steady in the near-term due to steady investment activity and tight supply of crude indium. This week’s stock level on the Fanya Exchange is 1,895 mt, and increase from 1,820 mt last week.