High-carbon ferrochrome prices have risen on the back of supply
concerns and a reported increase in consumer demand.
The price range for
high-carbon ferrochrome has increased to 97 cents to $1.02 per
pound from 94 cents to $1 previously.
told AMM that traders are looking to hold firm on
quotes around $1 per pound as supply struggles to keep up with
heard others at 94 cents per pound, but thats been taken
off the table," one trader said. "A lot of the larger guys are
saying were not going to offer at these lower
levels, were going to go for $1 or nothing."
"High-carbon chrome is
a real problemI dont know where were going to
get it," a second trader said. "The rumor is that (one major
supplier) doesnt have any material, and the DLA material
was gobbled up."
A source at a major
supplier said his company is focusing on fulfilling its
contract business rather than participating in the spot market.
"We can only support our contracts," he said. "Ive turned
down several businesses over the past week because I
couldnt support them. Customers are taking larger
quantities, and spot demand has picked up. There is limited
material now in this country and not many people can offer
Va.-based DLA Strategic Materials offered more than 1,508 short
tons of high-carbon ferrochrome for August (
amm.com, Aug. 20).
Traders attributed the
increased demand to renewed optimism from the stainless sector
following a boost in base prices and raw material surcharges
amm.com, Aug. 21).
"There is a noticeable
difference between three weeks ago and today," a third trader