[Ferro-Alloys.com]

[Raw Material] The semi coke market was getting more strong, and the quotation for small-sized has been slightly increased to around 1010-1050 CNY/T. The ex-factory price of silica was around 200-250 CNY/T, the oxide skin was around 1000-1030 CNY/T, and the electrode paste price was around 5400 CNY/T. The current cost side support was still relatively strong.

[Spot Market] This week, the ferrosilicon market has been strong, with the quotation in main production areas around 6900-6950 CNY/T for 72# ferrosilicon standard blocks, and around 7300-7400 CNY/T for 75# ferrosilicon standard blocks. The production situation of the manufacturer was stable, the spot inventory was low. However, the inventory of the delivery warehouse was still at a high level, and the significant increase in ferrosilicon prices also lacks support; And the export situation continued to be poor, with exports continuing to shrink in July; Downstream steel tender has started, with price increasing or decreasing, indicating a strong game between supply and demand.

[Futures Market] This week's futures market overall rose, with the opening price of 2310 main contracts being 6870, the highest price being 7040, the lowest price being 6772, the closing price being 6976, the settlement price being 6972, the trading volume being 887139, and the position being 262021, an increase of 1.31%.

Below are Ferrosilicon Futures main contract daily specific performances:

[Demand Market] Seven departments have jointly issued the "Work Plan for Stable Growth in the Steel Industry", proposing to maintain a dynamic balance between supply and demand in the steel industry by 2023; At the same time, it was proposed to implement the action of upgrading steel consumption and focus on expanding steel demand. In the early part of this week, the futures market continued to rise, and the spot trading situation was still good. Steel prices rose slightly, but high price trading was limited; In the later stage, as the futures fell, market sentiment weakened. Although raw material prices rose and steel costs were supported, the release of terminal demand was slow and performance did not meet expectations. Market confidence was insufficient, and caution was the main mood. In the short term, steel prices may continue to fluctuate and consolidate.

This week, the domestic magnesium metal market has once again rose sharply. With more concentrated replenishment from downstream, the quotation has reached the level of 23000 CNY/T! However, due to insufficient demand support, downstream acceptance of high prices has always been limited, and magnesium prices have slightly adjusted under pressure in the later part of the week. Considering that factory inventory was still low and short-term supply was unlikely to show significant growth, manufacturers had a strong willingness to support prices. In the short term, the magnesium market may undergo a slight consolidation operation, and we will pay attention to demand follow-up. On Friday, the mainstream ex-factory cash quotation including tax of 99.9% magnesium ingots in Fugu area was mostly around 22700-22800 CNY/T. 

• [Editor:kangmingfei]