The market is generally accepting lower spot ferrovanadium prices due to little consumer buying, although most participants are guardedly optimistic that there will be a gradual demand recovery in 2010.

"It's going to be soft for the fourth quarter," one U.S.-based ferroalloys trader told AMM. "People are on the fence and may be expecting things to drift a bit lower. But given where we are in terms of demand, people aren't overly concerned. If you looked at where we were a year ago it was basically pure fear and panic; that's not indicative of where we are today."

Spot ferrovanadium is now between $10.50 and $11 per...