Molybdenum  into national purchasing  and storage of excess supply situation is still hard to change

 

State purchasing and storage of messages caused molybdenum Molybdenum sector rose yesterday. Reporter confirmed regarding purchasing and storage. However, molybdenum prices have been at historic lows, this is not enough to change the status of purchasing and storage of trace molybdenum industry at the cost of struggling. From a fundamental perspective, molybdenum plate up or are "day trip" market.

 

 

   Industry sources say that the State Reserve has been purchasing and storage in 1995 molybdenum iron, molybdenum again separated by 20 years of purchasing and storage varieties included, showing the national attention on molybdenum species, purchasing and storage news will boost market confidence. Analysts said that since 2000, currently is the second low molybdenum prices, the state purchasing and storage shows the importance of the market.

 

   Molybdenum is a non-renewable strategic resource, and its excellent performance, widely used in iron and steel, chemical, military and other fields. According to public information, China's molybdenum reserves, production, consumption and export volume in the world and in the forefront. Currently the world's largest reserves of molybdenum ore in China, accounting for about 40 percent of the world's total reserves.

 

   However, the purchasing and storage is not enough to change the current situation of excess supply of molybdenum.

 

   2013, molybdenum production of approximately 80,000 tons of metal, and 2000 tons of metal molybdenum equivalent of about 1,000 tons, revenue reserves only supply about 1.25%.

 

   Molybdenum domestic oversupply greater pressure. Molybdenum prices since 2007 highs devastated, related businesses are struggling to survive.

 

   Since April this year, the International Molybdenum prices are rising fast, the highest increase of over 40%, and the stock fell to a low molybdenum, capital markets once optimistic. However, due to oversupply, China molybdenum prices did not follow up. Analysts believe that the international capital or by the US and European economic upturn molybdenum price speculation. But not for domestic molybdenum prices have too high expectations. On the one hand, China is the largest molybdenum demand, but China weak demand. In addition, China is the world's largest supplier of molybdenum and molybdenum ore supply tend to disperse, which all affect the molybdenum ore prices rebound height.