The ferrosilicon market is weak. On the supply side, the policy has been released, steel prices have rebounded, and downstream consumption has improved, but the early cost of traders is higher, downstream consumption is maintained in general, and some manufacturers are not willing to resume production considering the power consumption problem; Magnesium ingot enterprises are expected to resume production, and the main producing area manufacturers are starting to rise, but the subsequent production of ferrosilicon by some manufacturers will be used as raw materials for magnesium ingot production, and the market supply or maintenance is stable, and the pressure on ferrosilicon inventory is small. On the demand side, the price of ferrosilicon steel is weaker than the previous quarter, steel mills are repaired, the start of construction is declining, the production of molten iron is reduced, the main producing area is responding to weather pollution control, some steel mills are starting to decline, alloy demand is further under pressure, but the follow-up black plate still has the potential to perform, there is certain support at the bottom of ferrosilicon, and steel transactions are concerned. Strategy suggestion: SF2402 contract shocks down, the short side is strong, the operation considers the callback to choose the opportunity to do more, investors please pay attention to risk control.
The manganese silicon market is stable. In terms of raw materials, the price of chemical coke has risen, and the spot support for manganese silicon has risen, but the mainstream steel pricing has declined quarter-on-quarter, less than market expectations, manufacturers’ profits are general, and some manufacturers have responded to the poor transaction situation, and the construction has been stable. On the demand side, the overall demand for manganese silicon continued to weaken, Tangshan and other places recently started heavy pollution weather second-level emergency response, steel mills in some areas began to decline, alloy demand contracted, supply production was less than expected, the pan sentiment was hit. Strategy suggestion: SM2402 contract shock down, the bearish force is strong, but under the support of the sentiment of the fourth quarter, there is not much space below, the operation to consider the callback is much shorter, need to pay attention to the downstream steel trend, please pay attention to risk control.
