Price trend

　　From last weekend to the 23rd, the spot price of ferrosilicon showed an upward trend, with an increase of 100-200 RMB/ton. The mainstream price of 72 ferrosilicon in the main producing areas of Ningxia was around 8,300-8,500 RMB/ton.

　　Analysis review

　　On the 22nd, Shenmu Lantan Group issued a notice on stabilizing market prices: starting from 0:00 on November 23, 2021, large materials: 1900 RMB/ton (ex-factory price including tax), intermediate materials: 1,900 RMB/ton (ex-factory price including tax), small material: 1,800 RMB/ton (ex-factory price including tax), semi-coke flours: 1,400 RMB/ton (ex-factory price including tax). All companies were required to sell blue charcoal at a price not lower than the guideline, and market pessimism had turned back.

　　The current overall supply is gradually recovering, and the company's operating rate and average daily output continue to rise. However, Ningxia issued a staggered production document, and the outlook for the supply of ferrosilicon is expected to tighten. While downstream demand continues to weaken, steel demand is weak. In addition, entering the heating season, steel mills in some areas will also tighten production restrictions, which does not rule out a further weakening of market outlook.

　　Market outlook

　　On the whole, due to the price control of Shenmu semi-coke and the upward trend of futures, the market's pessimism has turned back. Now that November has passed halfway, the market will now or once again focus on steel bidding. In the short term, the ferrosilicon spot market may be stable.