Manganese ore prices tumble further amid oversupply

Seaborne low-grade manganese ore prices in China fell sharply in the week ended Friday October 25 amid aggressive attempts to liquidate material and falling market sentiment.

Fastmarkets’ manganese ore index 37% Mn, cif Tianjin, plunged 67 cents per dry metric tonne unit to $3.50 per dmtu on Friday. The index has recorded a fall of 24.9% in October. Fastmarkets’ assessment for manganese ore 37% Mn, fob Port Elizabeth, fell by 60 cents week-on-week to $2.70 per dmtu, the lowest level since March 6, 2017 when it was at $2.23 per dmtu. Lower-than-expected offer prices attracted some Chinese ore traders back into the market and sparked a surge in liquidity, according to market sources. “I thought initial offers would stay above $4 per dmtu,” a Chinese market participant said. “And I believe many buyers will be willing to secure some volume of ore at the offered price because it’s relatively safe to build positions now.” It has been difficult for miners to offload their monthly stocks because ore traders have been cautious about buying seaborne cargoes after...

Published

Janie Davies

Jon Stibbs

Amy Lv

October 28, 2019

15:56 GMT

London, Shanghai

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