The long week is finally coming to an end. There is nothing new under the sun. The silicone market is still in a dark downward trend. The mainstream DMC quotation is 17300~18000 yuan/ton, and the transaction volume is 300-500 yuan off. Some of the middle and lower reaches have adequate stock, but the manufacturers who originally insisted on maintaining stability two days ago were still unable to restrain their shipments. Yesterday, they also started to partially follow the trend of decline, causing pressure on those who have already prepared. In the short term, the confidence of both upstream and downstream has been severely hit, and the reduction of production and stock removal have increased significantly. Behind the waves of exchange of price for quantity, if the terminal does not improve, the probability is that the inventory will be transferred. Therefore, the cost and price are floating clouds, focusing on demand!


Yesterday, 421 # silicon metal rebounded stably, quoting 21700~22000 yuan/ton, a slight increase of 200 yuan, while the manufacturer of methyl chloride in Shandong fell 200 yuan, to 3500 yuan/ton, and there was no change in the cost between the rise and fall. This week, the individual plants had different stages of profit giving, and the quantity of orders received was differentiated, leading to uneven stock taking. Under high pressure, the initiative to reduce the burden was still increasing, which also showed that the manufacturers were strengthening their mentality of reducing production and stabilizing prices. On the demand side: In recent two days, some manufacturers have a moderate amount of stock, but the expectation of future rebound is not high. Just after a batch of stock is needed, the procurement pace slows down.


To sum up, the market is still restricted by the terminal. The single factory bidding storm is only a temporary stimulus to demand, not to reverse the surplus situation. Judging from the current price, it has been at a low point, but the contradiction between supply and demand is still prominent, and it still takes some time to polish the bottom.