The Chinese ferro-silicon market has rebounded in the week to Friday April 27, ending a steady run of losses since early March, because of supply worries and renewed buying from traders; prices in Europe and the US have gone the other way, however, due to slack demand for alloy on a prompt basis.
China pares losses, eyes more gains as China futures jumps Europe, US suppliers cut offer prices amid lackluster spot demand Chinese domestic ferro-silicon prices started to strengthen last week, boosted by tight production and industry talk that traders are building long positions. Metal Bulletin assessed Chinese domestic spot ferro-silicon (basis 75% silicon) prices at 6,200-6,400 yuan ($979-$1,010.40) per tonne on Friday, up from 5,800-6,200 yuan per tonne on April 20. Ferro-silicon producers in China were reported to have sold off their stock levels two weeks ago on a rally in ferro-silicon futures prices. "Traders seem to be playing the market by pushing up futures prices earlier and now most of the stock is in their possession," a source said. Another source said: "Even if steel mills want to order spot cargoes from ferro-silicon producers, they cannot as they will need to buy it from traders." According to sources, there...