Manganese silicon: Manganese silicon market is weak. In terms of raw materials, the flood season is gradually entering in the south, the hydropower generation is increasing, the coal price is falling, the electricity charge in Yunnan-Guizhou and Guangxi is decreasing, the production pressure of southern manufacturers is alleviated, and the enthusiasm to start work is obviously increased, while the northern manufacturers maintain a high level of operation. According to the statistics of my Iron and Steel network, the construction of 121 independent manganese silicon sample enterprises increased 3.2% month-on-month, and the supply increase is obviously superimposed on the weak demand. Manganese silicon face certain pressure to storage, market wait-and-see sentiment increased. On the demand side, the output of five major steel varieties decreased slightly, the apparent demand picked up, the market transaction improved, the price of downstream finished materials rebounded at a low level, Caixin PMI data boosted the market sentiment, and the black plate shook up. Strategy suggestion: SM2309 contract high open shock, it is still recommended to shock thinking, please pay attention to risk control investors.
Ferrosilicon: The ferrosilicon market is weak. The market is based on the just-needed procurement, the cost of coal prices still have room to fall, and the electricity bill is expected to be reduced, the price support of ferrosilicon is further weakened, manufacturers operating rate low shock, if the loss continues the follow-up manufacturers or there are new furnace maintenance, inventory, ferrosilicon inventory high, to warehouse pressure. In terms of demand, some steel mills began to purchase steel in June at the end of the month. The average daily output of molten iron increased and the demand for alloy stopped falling. However, the terminal real estate repair is insufficient, steel mills take the initiative to destock, the problem of overcapacity remains unchanged, and the industry is weak. In the short term, the market sentiment is boosted by the improvement of PMI data and the expectation of macro improvement, but in the medium term, the fundamentals still depend on the policy to release good news and stimulate domestic demand. This round of rebound is highly limited. Investors should pay attention to risk control.
