I.The Quoted Price for Moly Concentrate by Mines Is Firm, and the Game Between Supply and Demand Continues

The domestic moly concentrate market continues to operate at a high level. Yesterday, a mine in Fujian sold moly concentrate(Mo%=40) at 3700 yuan/mtu($23.09/lb) in cash. Traders have a strong wait-and-see attitude. The difficulty of purchasing low-priced moly concentrate in the market remains high. At the same time, the weak bidding price of ferromoly by steel mills has also made downstream procurement inactive. The overall supply-demand situation in the upstream and downstream is deadlocked. There have been sporadic transactions in the bulk cargo market for moly concentrate(Mo%=45-50) at 3740 yuan/mtu ($23.33/lb).

"The bidding price of steel mills is still weakening. Downstream enterprises have low purchasing sentiment for moly concentrate, mostly based on rigid demand. It feels like the market is somewhat deadlocked now."said a trading company.

"This week's market inquiries were not as active as last week. We only delivered some orders, and there were no transactions for bulk cargo. "said a mining enterprise.

II.Ferromoly Enterprises Are Gradually Shutting down for Maintenance

Yesterday, the quotation of domestic ferromoly enterprises was still between 240,000 and 243,000 yuan/mt($55.02-$55.71/kg), or price communication could be negotiated separately according to different orders. The bulk cargo market was relatively sluggish. Due to the continuous inversion, some ferromoly enterprises have stopped production for maintenance. The bidding prices of steel mills had been announced as 235,000-237,900 yuan/mt($53.87-$54.54/kg). Steel mills in Jiangsu, Shanxi, Shandong entered the market, promoting the total bidding volume of ferromoly in China to reach 5,000mt.

"The low bidding price of steel mills has led to an inversion of ferromoly. However, it is currently not possible to purchase low-priced moly concentrate." said a company in Henan Province.

"The current market is not easy to operate. We are preparing to stop production and wait until this situation improves. At present, there are still some orders, so we will not purchase moly concentrate after delivery. "said a company in Liaoning Province.

III.International Moly Oxide Achieves Large Volumes at Lower Levels

The international moly market has been falling continuously in recent days. As prices decline, buyers are beginning to enter the market to replenish inventory. Yesterday, the western moly oxide at Busan Port was traded around $22.65/lb Mo, with a total transaction volume of about 100mt. However, market risk aversion still exists. The overall market is still in consolidation.

"Yesterday's market inquiries were good. We finally achieved transactions for western moly oxide at $22.65/lb Mo."said an international moly enterprise.

"The international moly price has shown some resilience now. Supply companies are unwilling to sell at low prices, so every time the price drops to a certain extent, there is a large amount of demand entering the market. However, buyers always have a certain degree of caution towards high prices. Yesterday, the western moly oxide quotations at Busan Port were around $22.7/lb Mo, but transactions were concentrated around $22.65/lb Mo."said an international moly company.

In summary, the game situation between upstream and downstream in the moly market has been ongoing recently. The bidding price of steel mills continues to decline, causing serious inversion of ferromoly. Ferromoly enterprises are passively undergoing maintenance, while steel mills are gradually entering the market. It is expected that the game in the domestic market will continue in the near future, and prices will maintain narrow fluctuations.