Recently, high-carbon ferrochrome has witnessed a weak market, and participants views are mixed. Current market mainstream offer is 9200-9700 yuan / mt.
According to market participants, stainless steel market is weak because of Greek crisis, high-carbon ferrochrome was also affected and went down. Enquiries and transactions reduced, and ferrochromium manufacturers offer generally declined, at the sme time, the market prices show the signs of becoming weak. According to a domestic ferrochrome business, ferrochrome market was thin in the latest two weeks. Although their offer for high chrome dropped by 200-400 yuan / mt, enquiry has not increased significantly. There were some transactions concluded, but the price is as low as 9200 -9300 yuan / mt. Some producers in inner Mongolia also said, recently enquiry are rare and transactions is also unsatisfactory. While some other ferrochromium manufacturers said that they are waiting and seeing without offer, because the price the buyers gave is too low to accept.
Many participants believe that current high-carbon ferrochromium is in a consolidation period, and there will be a bullish aftermarket, because of support of high cost and strong international ferrochrome prices, etc. Other market participants think that recent stainless steel market is instable, and the next two or three months is always off-season demand for stainless steel, coupled with recent loosening of chrome ore price , so ferrochrome market can not be optimistic.
The author believes that it’s not probable for ferrochromium to sharply drop, and it will keep stable in short term.
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