Date: Mar 12, 2019
The European ferro-vanadium market fell in the week ended March 8 due to aggressive negotiations amid sluggish demand, while ferro-vanadium prices in China and the United States softened slightly.
· Chinese ferro-vanadium market softens on lack of foreign buying interest
· European ferro-vanadium prices slump on aggressive offers
· European V2O5 edges down amid limited buying interest
· US ferro-vanadium slips on inactivity
US spot prices for ferro-vanadium held at $37-39.50 per lb on March 7, down 50 cents from $37.50-40 per lb previously, according to Fastmarkets’ latest assessment.
Spot demand remained subdued over the week, while concluded transactions were scarce.
“The ferro-vanadium market is kind of dead. There are some small inter-trade offers out there, but not really any consumers looking to buy at the moment,” a supplier source said.
Softer prices in overseas markets have market participants suspecting weakness may lie ahead for US prices.
“Ferro-vanadium is stressed outside of the US, so there is some downside pressure potential,” a second supplier source explained.
Medima’s Barry Lazar discussed this interesting price trend at the 20th Asia Ferro-Alloys Conference, which was covered by Fleur Ritzemprice for ferro-vanadium, 78%, free delivered duty paid, in Europe, at $71.50-76 per kg, down 2.3% from the previous assessment, with all business concluded within the new range.
Traders and suppliers were eager to secure large business and were offering aggressively given their inability to sell inventories in the weeks prior, market sources said.
“There is quite a weak feeling in vanadium right now,” a trader in Europe said. “There is a shortage globally so in theory prices should go up but the demand side is not great.”
The European pentoxide market also weakened last week amid the deteriorating sentiment and the downturn in the ferro-vanadium market. Buying interest from potential converters was also limited last week due to depressed ferro-vanadium prices.
