Ferro Silicon Lacks Upward Drive And May Fluctuate Weakly in The Short Term

On Wednesday, the ferrosilicon contract fluctuated and weakened, with the main contract closing at 5,994 yuan/ton, down 0.5% month-on-month, and the main contract position increased slightly month-on-month.

The aggregate price of ferrosilicon No. 72 is about 5,750-5,900 yuan/ton, and the Inner Mongolia and Ningxia regions fell by 20 yuan/ton compared with the previous trading day. Yesterday, the black sector rose and fell, and the ferrosilicon futures price continued to fall.

From the news perspective, the March ferrosilicon inquiry price of a large steel plant in Hebei was announced. The March 75B ferrosilicon inquiry price was 6,150 yuan/ton, down 330 yuan/ton from the February pricing. The purchase volume in March was 1,883 tons, an increase of 423 tons from February. The final pricing has not yet been announced. Nanjing Iron and Steel issued a ferrosilicon tender announcement on March 12, with a tender quantity of 800 tons. Continue to pay attention to the latest progress of steel bidding.

From the perspective of supply and demand, the weekly output of ferrosilicon is still relatively stable, and the improvement of downstream demand is limited. Under the low price, traders are not willing to purchase, and the social inventory is still relatively high, and the fundamental support is limited.

Overall, ferro silicon lacks upward driving force, and it is expected to be mainly weak and volatile in the short term. Pay attention to the pricing of mainstream steel bids and changes in market sentiment.