The spot price of domestic ferrosilicon (grade: FeSi75～B; particle size/mm: natural block) has slightly loosened, and the price in the main factory area in Ningxia was about 16,000-17,000 RMB/ton on 28th.
Recently, the ferrosilicon spot market was running chaotically, steel plants entered the site one after another to purchase. On the 28th, HBIS Group’s October ferrosilicon bidding price was released. This time the price was 16,000 RMB/ton, which was an increase of 5,300 RMB/ton from the previous month, and the bidding volume was 3,126 tons (960 tons in Tangshan Iron and Steel New Area, 1,000 tons in Handan Iron and Steel, 300 tons in Chenggang, 700 tons in Wuyang New Area, and 166 tons in Shigang Special Steel), which was an increase of 391 tons compared with September. On the 25th, the main producing areas of Ningxia were sent electricity, which eased the tension of ferrosilicon, and the spot price was slightly loosened, and the price was reduced by 500 RMB/ton.
At present, although production in Ningxia is resumed, the output of ferrosilicon is still limited in terms of production and electricity restrictions in other provinces, and the bidding price is above 15,500 RMB/ton, which has certain support for the spot price of ferrosilicon, Coupled with the recent strong rise in ferrosilicon futures (the 28th intraday high 15,870 points, the lowest 14,660 points, an increase of 9.01%).
Judging from many favorable factors, the spot price of ferrosilicon will be still at a high level in the short term.