Magnesium ingot market on Jan. 15,2024
January 15, 2024
It is understood that with the increase in downstream centralized procurement last Friday morning, the market's low-priced supply gradually decreased. From Friday afternoon to Saturday, the price of magnesium in the Fugu area moderately rebounded to 20200 yuan/ton, with a slight rebound of 100-150 yuan/ton.
Entering the third week of January, which is also a week when downstream pre year stocking is relatively concentrated, it was learned on Monday that 99.9% of magnesium ingot factories in the Fugu area reported mainstream ex factory cash prices including taxes of 20200-20300 yuan/ton, and mainstream transaction prices of 20200 yuan/ton. It is difficult to find goods at even lower prices, and other regions will follow suit. On Monday, the magnesium market is generally mostly wait-and-see.
On January 15th, we learned from a magnesium industry insider that last week, as magnesium prices stabilized at the bottom, downstream users began to restock and demand for orders on dips, resulting in good transactions in the magnesium market. Regarding the direction of the magnesium market this week, considering that downstream rigid demand will orderly carry out pre year stocking, this person believes that the magnesium market will remain stable while improving.
Analysis suggests that from the demand side, with the arrival of December and the approaching of the Spring Festival, downstream pre year stocking will be carried out in an orderly manner, and the magnesium market will remain strong and supported. Considering that there has been no significant improvement in demand, it is expected that the increase in magnesium prices will also be limited. This week, the magnesium market may remain strong and positive, and we will observe the follow-up of demand.