Moly oxide stabilizes but upside limited
However, few sources were willing to predict a sustained price recovery in the near term.
The Platts daily dealer oxide assessment range narrowed to \\$6.20-\\$6.30/lb from \\$6.15-\\$6.30/lb June 26.
The European market was quiet as the ongoing uncertainty surrounding Greece's future in the eurozone permeated the wider financial markets. And spot trade was generally lackluster during Asian trading hours Monday as Chinese traders, the regular spot sellers, turned into buyers were at \\$6.30-\\$6.35/lb ex-warehouse China/South Korea and other basis, while buy ideas were at \\$6.20-\\$6.25/lb.
A producer reported selling several truckloads of oxide power at \\$6.25/lb in Asia, with a mixed basis of ex-warehouse Busan/CIF Chinese port.
A Western trader confirmed receiving an offer at \\$6.25/lb in Asia but described the price as a "bit rich" and opted to wait.
One Asian seller put his price idea at \\$6.40/lb CIF, adding that he had suspended spot offers.
Recent Chinese buying has been seen as basically opportunistic rather than a reflection of any kind of structural shift, leading various sources to question how much potential there may be for a sustained price rise.
"None of the fundamentals have changed in the past few days... There are still too many units around," said one European trader.
"Prices are up a bit but they're running into a bit of resistance."
A producer sources suggested Chinese buying interest might dry up if prices move to \\$6.40/lb and above.
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