NEW YORK Ferrovanadium
prices have dropped on reports of a supply surplus, although
overall ferroalloy spot trading has been light as long-term
contracts are covering most consumers requirements.
Ferrovanadium has fallen to a
range of $13 to $14 per pound from $14.90 to $15.15 previously,
with market participants telling AMM that supply is
exceeding demand in the spot market.
"There seems to
be a fair amount of material out there, and most traders seem
hungry for some business," one consumer said.
All other ferroalloy prices are
unchanged, with ferrosilicon continuing to trade in a range of
92 to 94 cents per pound and high-carbon ferromanganese steady
at $1,090 to $1,145 per long ton.
Market participants told
AMM that long-term contracts continue to satisfy the
vast majority of consumers production needs.
"Everything is booked out, and
production hasnt gone up (and) requiring people to go out
for additional material," one trader said. "We wont see
much until people start thinking about what they need for the
third quarter, but usually the third quarter is a little
quieter anyway, so if were seeing this in April I
dont know what well get in summer.
"Demand and usage hasnt
changed, just the timing and frequency, but its a little
disconcerting when you dont get any inquiries," he
A second trader estimated that
long-term contracts were covering 85 percent of his
customers requirements. "The spot market has really dried
up. There are barely any inquiries, and its usually only
for a truck(load) here and a truck(load) there," he said.
A third trader suggested that
spot business might improve as the second quarter progresses if
some consumers find themselves coming up short.