Cobalt hydroxide prices and payables continued to firm last week as suppliers successfully held out for higher numbers amid optimism derived from China's State Reserve Bureau (SRB) stockpiling drive, and interest from consumers and the trade to restock.
Fastmarkets'
cobalt hydroxide index, 30% min Co, cif China was calculated at $11.94 per lb on Friday September 18, up 0.7% from $11.86 per lb on September 11.
Suppliers are mostly optimistic about the near-term hydroxide market as the latest SRB purchase means more potential appetite from Chinese metal producers who participated in the tender held on September 17 to top up their feedstock.
"There are big question marks around the tonnage [that SRB has bought], but I'm cautiously optimistic on the hydroxide market basis the guys on the list for the tender considering how they are likely to replace the stock [with intermediates]," a supplier said.
Meanwhile, a recent stronger Chinese yuan against the US...