European ferromolybdenum price hiking

BEIJING (Asian Metal) 15 Jun 09 – Though the buying is not very active in European market, the ferromolybdenum price climbed up to USD26.00-27.00/kg last weekend due to the tight supply. Because the ferromolybdenum price has not reached the break-even point for converters, the supply for ferromolybdenum remains tight.
A trader reported that they sold a small volume of ferromolybdenum 65% at USD26.1/kg d.p. in warehouse Rotterdam in the beginning of last week, and the price increased to USD26.00-27.00/kg d.p. last weekend. "I heard that some other traders sold materials at USD26.60/kg," said the source.
The trader indicated that consumers are still buying slowly but constantly, so he thinks that the demand will remain stable until this summer.
Another trader confirmed that ferromolybdenum prices have risen to USD26.00-27.00/kg d.p., and he sold several small volume of 2-3t at USD26.50-27.00/kg d.p. last weekend. "You can't buy enough materials from converters because they don't produce with no profits," remarked the trader.
However, a third trader reportedly sold a container of ferromolybdenum 65% in the second half of last week at USD26.00/kg, remarking that the price was already over USD26.50/kg last Friday. The source has another container of ferromolybdenum on hand, and offers USD27.00/kg d.p. in warehouse.
Seeing the hiking ferromolybdenum prices, buyers show more confidence in the market trend, and people have accepted prices around USD10.50/lb for molyoxide. A trader sold 2 batches of molyoxide last week, disclosing that they sold one container at USD10.53/lb, and another 10t at USD10.55/lb.