Tungsten Market Update (May 3, 2012)
By Michelle Smith — Exclusive to Tungsten Investing News
Tungsten seems to be a metal with two tales lately. Over the past two months, prices in China have been falling in tune with weak demand. Beyond Chinese borders, prices seem to have tumbled from the February range of $440-450 to $430-440, where they continue to hover.
China's domestic tungsten market is now showing some signs of recovery. Prices for both APT and concentrate have been on the rise, especially in the past week, as there appears to have been a spike in demand from Chinese traders and smelters.
Chinese miners are believed to have healthy stockpiles, so they are under no pressure to be flexible for the sake of cash. Smelters, on the other hand, are believed to have low stockpiles, so they are not expected to have much power to push down prices.Even as the Chinese tungsten market showed weakness in Q1, there was resistance to lowering prices for international buyers, and exports of tungsten are reportedly still weak. Miners outside of China continue to report strong demand and good prices and are still optimistic about the market. Tungsten Market Update (May 3, 2012) from Tungsten Investing News
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