European FeMo prices drift lower on subdued buying

Ferro-molybdenum prices fell further in Europe on Wednesday April 1, as neither the floods in Chile nor the introduction of European anti-dumping measures on Chinese and Taiwanese stainless steel provided support.

Ferro-molybdenum prices fell further in Europe on Wednesday April 1, as neither the floods in Chile nor the introduction of European anti-dumping measures on Chinese and Taiwanese stainless steel provided support.

Torrential rain in northern Chile was expected to affect copper production, and in turn, molybdenum, as the red metal’s by-product, but this has yet to filter through to prices in Europe.

Several market participants had also stated that they expected the EU’s anti-dumping measures on imports of Chinese and Taiwanese cold rolled flat stainless steel, but this has similarly failed to provide a boost.

Metal Bulletin’s in-warehouse Rotterdam quotation dropped to $20.30-20.90 per kg, from $20.70-21.25 previously, with expectations of further falls on the horizon.

Activity was generally subdued on Wednesday, as market participants waited for news to emerge from Metal Bulletin’s Asian Ferro-Alloys Conference in Singapore.

“I would say the lower buying activity is reflected in the price. Maybe we will see more activity [after Easter] but I have also heard several steel mills are cutting back production,” a ferro-molybdenum producer said.

“From the States, I’ve heard steel producers are also running at lower capacity utilisation. Some are covered for the second quarter at least from their first quarter purchases.”

The small run upwards witnessed in early March is now at an end, a trader added, and there is little hope for a rebound in the immediate future.

“There are various theories among the producers that there should be material tightness in the next month or two but we don’t see it. Demand is not sufficient to create any big movement,” the trader said.

“Overall, it’s not looking good on the molybdenum front.”

Molybdic oxide prices also drifted lower, down to $8.10-8.40 per lb, from $8.30-8.50 previously, although there have been suggestions that resistance from sellers may re-emerge once prices hit $8.

“I think maybe there will be a resistance level there. People are not interested in seller below $8,” the producer said.

A clearer direction is expected to emerge once market participants return from Singapore and after the Easter break in Europe.

Claire Hack
chack@metalbulletin.com
Twitter: @clairehack_mb

What to read next
US copper scrap market participants are shifting from COMEX to LME pricing in response to extreme price volatility and a new 50% copper import tariff. The change is influencing discount formulas, export strategies and long-term trading dynamics across the sector.
The proposal follows preliminary discussions with the market and internal analysis of price usage, which suggests low market liquidity and a lack of demand. Specifically, Fastmarkets is proposing to discontinue: MB-CU-0410 Copper rod premium, ddp Midwest US, US cents/lbQuality: Purity of 99.95-99.99%. Thicknesses of 8 millimeters or 0.3125 inchesQuantity: Min 25,000 poundsLocation: Delivered US MidwestUnit: US […]
After a month-long consultation period, Fastmarkets is amending the below specifications, following no negative feedback from market participants and internal data analysis. The following changes will take place: The new specifications are as follows, with amendments in italics: MB-CU-0002 Copper grade 1 cathode premium, ddp Midwest US, US cents/lb Quality: Grade A 99.9935% min copper cathode conforming to LME […]
The global copper market has finally received the widely anticipated news that imports to the US will be tariffed from August 1. The finer details of the tariffs, including their scope, and whether key copper-exporting nations like Chile, Canada and Peru will be exempt, remain unclear.
LME copper prices took a significant hit following US President Donald Trump's announcement of a potential 50% tariff on copper imports. The uncertainty surrounding the timeline and implementation of the tariff has left market participants hesitant, with analysts noting its immediate impact on price momentum and trading activity.
Fastmarkets has launched MB-AL-0424 Aluminium P1020A premium, fob Indonesia, $/tonne on July 9 due to an expected increase in Indonesia-origin aluminium exports. MB-AL-0424 Aluminium P1020A premium, fob Indonesia, $/tonneQuality: P1020A or 99.7 % Minimum Al purity (Si 0.10% max, Fe 0.20% max) in line with LME specifications. Ingot, T-bar, sowQuantity: Min 500 tonnesLocation: FOB IndonesiaTiming: […]