Consumer sales saw a big drop for European ferromolybdenum on Wednesday, while molybdenum oxide prices slipped under $7/lb.
The Platts daily dealer oxide assessment was at $6.90-$7/lb from $7-$7.10/lb, while the daily European ferromolybdenum assessment was down to $17.20/kg-$17.60/kg from $17.80-$18/kg.
Market participants said a German steel mill bought several lots of ferromolybdenum at $17.20-$17.30/kg DDP basis. "On one hand I'm shocked but on the other I totally believe it," one European trader said of the low prices.
He added that market sentiment had been poor at a conference earlier in the week and many would be looking to liquidate positions.
A second European trader said he had also heard the low prices and noted the sellers were likely anticipating lower prices the following day and were minimizing losses.
Molybdenum oxide sales were reported at $6.95/lb in Busan and China, $6.90/lb in Busan and $7/lb CIF India.
Market participants said offers were heard at $7/lb across Asia and were clearly biddable.
A Chinese trader said he was offering $7/lb and received firm bids at $6.80/lb and $6.90/lb, but was not willing to sell. Others said there were very few interested buyers.
A second Chinese trader said: "Not going to buy now as prices may drop further."
