Trend of metallic magnesium (8.16-8.20, the same below)

This week, the magnesium ingot Market was consolidated at a high level. At the beginning of the week, the magnesium market developed steadily at a high level. On Wednesday, the market transaction weakened, the magnesium price was stable and slightly corrected. There were few new orders signed in the main production areas, mainly in the form of pre-sale. As of August 20, the external quotation of domestic magnesium ingots was 22533.33 yuan / ton, which was lower than that of the previous two days, and the market transaction was followed up on Friday.

As of August 20, the specific price range of each region is as follows:

Ex factory tax included spot exchange in fugu area is 22200-22300 yuan / ton; The ex factory tax included spot exchange in Ningxia is 22200-22300 yuan / ton; The ex factory tax included spot exchange in Taiyuan is 22300-22400 yuan / ton; The ex factory tax included spot exchange in Wenxi area is 22400-22500 yuan / ton.

Market analysis

Supply and demand: at present, there are few magnesium ingots in stock, most of them have to arrange orders in futures, and merchants have a strong willingness to support prices; On the demand side, downstream customers generally have low acceptance of high prices, the pace of procurement slows down, and they often maintain a wait-and-see attitude. Both suppliers are in a game state, and the downward momentum of magnesium price is small.

Raw materials: ferrosilicon and coal prices are still high and stable. Due to the impact of raw material inventory, some coking enterprises have started the fifth round of increase. Some ferrosilicon merchants have heard the news that the government will pay attention to the problem that the dual control target of energy consumption in the first half of the main production area Ningxia is far lower than expected, driving ferrosilicon merchants to be optimistic about the future market.

Future forecast

Overall, the price of magnesium fluctuated in a narrow range this week, and the overall high consolidation. With the tight spot market, the stalemate between the supply and demand sides and the support of high raw material costs, the downward space of magnesium ingots is limited. In the short term, the domestic magnesium ingot price may be strong.