European FeMo, FeV prices fall further on lack of spot demand

Both ferro-molybdenum and ferro-vanadium prices fell further on Wednesday April 15, as market participants reported an overall lack of spot demand.

Both ferro-molybdenum and ferro-vanadium prices fell further on Wednesday April 15, as market participants reported an overall lack of spot demand.

Ferro-molybdenum prices slid below $20 on the bottom end, to $19.90-20.20 per kg, although they have yet to reach the lows seen earlier in 2015 of $19-19.80.

Ferro-vanadium prices dropped to $19-19.30 per kg, meanwhile, edging closer to lows last seen in 2009 after the global financial crisis.

Molybdic oxide prices dropped below $8 on the low, to $7.80-8 per lb, while vanadium pentoxide prices remained flat at $3.60-3.95 per lb.

“There’s quite a slack market situation. Activity in the market [is slow],” a ferro-molybdenum producer told Metal Bulletin.

Some ferro-vanadium market participants had suggested the news that Evraz Highveld is seeking business rescue could push prices up, but no impact has yet been felt.

Furthermore, Treibacher, which has an agreement with Evraz Highveld for the supply of vanadium slag, has said the move has not affected supply.

For now, it appears any upside for ferro-vanadium prices continues to be limited , according to a trader.

“With a bid, anything is possible…I think it’s quite oversold and I don’t think that will stop,” he told Metal Bulletin.

“Nobody wants to go long right now. Sometimes you have to go long [in a falling market]. When it’s already turned, nobody will sell to you [but that hasn’t happened].”

Traders are likely to step away from the ferro-vanadium market for now, as it is “too easy to lose money”, he added.

Claire Hack
chack@metalbulletin.com
Twitter: @clairehack_mb