NEW YORK High-carbon ferromanganese prices fell slightly on reports of healthy supply, but low-carbon ferromanganese prices are still expected to rise as rumored shortages develop.
High-carbon ferromanganese prices dropped to a range of $10.90 to $11.60 per pound Feb. 7 from $11 to $11.80 previously, with one trader forecasting further price drops as more material enters the market. "I do expect more downward pressure on pricing, because theres more production coming in," he said.
Low-carbon ferromanganese transactions were still reported in a broad range of 97 cents to $1.02 per pound, although some traders said the majority of business was being done at $1 per pound or above.
A second trader said he had sold 200 tonnes of low-carbon material at $1.02 per pound, reiterating his belief that prices were likely to go up soon. "Ultra-low-carbon ferromanganese is very inconsistent right now. Theres been a shortage, so low-carbon is more in demand," he said.
Traders told AMM at the end of January that they expected to sell low-carbon ferromanganese at around $1.05 per pound in February (amm.com, Feb. 1), but such prices have yet to be realized.
Traders reported an absence of spot deals for medium-carbon material Feb. 7, with most steel producers having locked up supplies in fixed long-term contracts.