May 31 Magnesium Ingot Market Price stabilized

On May 31, 2021, the price range of magnesium ingots (99.9%, non pickling, simple packaging) ex factory cash including tax in the main production areas of China is 17700-18300 yuan / ton, mainly through actual single negotiation.

The specific price range of each region is as follows:

In fugu area, the ex factory spot exchange including tax is 18000-18100 yuan / ton; The spot exchange in Taiyuan is 18100-18200 yuan / ton; Spot exchange in Wenxi area is 18200-18300 yuan / ton; The spot exchange in Ningxia is 18000-18100 yuan / ton.

Magnesium ingot is primary magnesium ingot according to national standard (GB / t3499-2011); Non pickling, no wooden pallet and non payment of acceptance price, solid single negotiation.

Magnesium price soared and fell sharply in May

According to the data of the business agency, the market quotation of the main production areas rose to 17400-17600 yuan / ton at the end of April. When they came back after the festival, the market quotation was high and the source of low price goods was hard to find. As a result, the price of tons soared by 4000-5000 yuan / ton.

It is reported that the return of May holidays, magnesium prices continue to soar mode. On the 8th, the lower end users began to find low-cost sources of goods, and it was not easy to make inquiries before the festival. In the middle of May, the market quotation once reached a historical market high of 22000 yuan / ton.

On the one hand, the black series of bulk commodities soared. Affected by the raw material end of magnesium ingot, ferrosilicon and steam coal, the cost side rose, and the manufacturers were determined to raise prices; On the other hand, the market is hot. Buying up or not buying down is equal to making money. Speculation leads to market price chaos.

With the regulation of policy, the bulk commodities began to retreat in the middle of the month, the price of magnesium ingots began to increase with the rapid shipment of hoarders, and the market quotation began to plummet. At the beginning of last week, the market quotation fell to 17500 yuan / ton; At present, the number of market inquiries has increased, because the market price chaos after the crash has gradually disappeared, the market entry window has opened, the market trading is relatively active, and it has begun to enter the platform shock range.

The price trend of steam coal in May is as follows:

Increasingly rational

After the sharp rise and fall, the price of magnesium ingot began to run smoothly a few days ago, and the mainstream market price hovered around 18000 yuan / ton. Business community analysts expect that the near future will continue to run in a steady state.

There are three reasons

First, after the previous surge and slump, downstream customers are cautious in purchasing and resist high price undertaking; There is little room for speculators to speculate in the short term;

Second, the current price of coal market is relatively high, ferrosilicon operation is relatively stable, considering the cost factors, the price reduction space of mainstream magnesium plants is small, and the willingness to support the price is high;

Third, the current price is a balance range initially reached by both long and short sides after the sharp rise and fall. It is a price comfort zone accepted by both sides. It is expected that the price will be stable without the guidance of special variables.