Molybdenum highlights

摘要

The price performance of the molybdenum markets has been mostly negative. Prices decreased the most in Europe followed by China then the USA. In Europe, consumers have been deterred from purchases by a waning steel sector, which is draining confidence. Elsewhere in China, despite low trading activity owing to the Lunar New Year holidays, buyers are expected to return to the market. Although we would expect them to be more cautious given lead economic indications to suggest the recent bull-run in the Chinese economy is stalling. In the USA, the anticipated market pick-up partly materialised, with some gains in ferro-molybdenum prices. On balance we believe that the outlook is weighted to the downside and therefore expect prices across all regions to struggle next month.