The magnesium market is stable and firm

    Magnesium in the first week of June, the overall in the steady firmed opens the month of midsummer, to June 5, 99.9% magnesium ingot mansion valley area factory to mainstream factory tax cash price 13100 yuan/ton, also have a factory price 13200 yuan/ton, mainstream clinch a deal the price 13050 yuan/ton, low price supply of goods is hard to find again, wenxi area 13300 ~ 13400 yuan/ton, prices were little changed on the previous Friday.

 

    Since early last week, the last two days and the downstream user may the dips centralized purchasing quantity is big, last Tuesday factory under the condition of the spot effectively release, price stability to modestly about 50 yuan/ton, the downstream procurement restore dull, don't try so hard the user into a wait-and-see market, order, but the factory cost factors such as strong willingness to support a price.As for the direction of magnesium market this week, market participants believe that magnesium market is difficult to go down, the upward momentum is not strong, or will maintain the stability of the situation, supply and demand will continue to be sticky.

 

    I learned from traders last week that June is generally a slack season for demand, and traders generally place few orders, mainly scattered and small orders. In addition, affected by the epidemic this year, foreign consumption is reduced, inventory of foreign customers is slowly digested, and orders are delayed and low prices are common.The demand of domestic downstream enterprises is also little, traders are mostly in a state of semi-vacation, plus the long-term bottom of magnesium price this year, traders profit is thin.

 

    According to the analysis, from the perspective of supply and demand, magnesium market rebound is difficult in the absence of strong demand support due to the recent weak downstream demand and few market orders.Given that the price of magnesium has dropped to the factory cost line, supported by the cost and the increased difficulty for workers in hot weather, some factories have started to carry out summer maintenance. It is also expected that the magnesium market will continue to be firm this week under the support of various factors.