NEW YORK Ferrosilicon prices have ticked up slightly on reports of tightening supply, while one consumer is said to have suddenly entered the spot market for 300 tonnes.
Ferrosilicon transactions were reported in a range of 93 to 96 cents per pound, up from 92 to 95 cents previously.
"Ferrosilicon is starting to get some legs," one trader said. "Theres a lack of material coming in because it doesnt fit for the Chinese. Youd need 95 cents today, and then it doesnt get here for another six to eight weeks, and whos to say where the market will be then?"
"I dont think theres too much ferrosilicon around, and thats what is giving it some strength," a second trader said. "People hadnt been as active in buying it before. They were buying just 200 tonnes here and there instead of 1,000."
The first trader said he sold 200 tonnes to a major consumer who came into the market looking for 300 tonnes. "Whoever was supplying them didnt have any more, so they didnt have enough material for March," he said.