NEW YORK Molybdic oxide and ferromolybdenum prices have taken another hit, with lackluster spot demand forcing molybdic oxide transactions below $10 per pound for the first time since June 2009.
AMMs molybdic oxide price dropped to $9.60 to $9.80 per pound from $10.40 to $10.90 previously, the lowest molybdic oxide price since trading in a range of $9 to $9.50 per pound in June 2009. Meanwhile, ferromolybdenum prices dropped to $11.70 to $11.95 per pound from $11.90 to $12.25 previously.
There are more keen sellers right now. Its not a pretty picture, one trader said.
A lot of customers are coming up on their summer maintenance period, so we expect prices to come off a little more by the end of the month, one producer said.
I just dont see any indicators that weve reached the bottom. Demand has been pretty lackluster, so if we see even more of a drop-off because of maintenance then we really havent hit the bottom, he added.
The producer said that the drop-off in consumer demand has been more pronounced in end-markets such as oil country tubular goods.
Generally speaking, weve seen fewer requests for FeMo truckloads, which would imply that some of the steel manufacturers using FeMo to trim their heats are impacted by the lackluster demand, he said.