Silicon prices have softened over the past month, leaving market sources
questioning whether the current slow market is the result of "summer doldrums"
or a reflection of global economic troubles, including a possible slowdown in
the U.S. automotive sector.
Silicon metal prices weakened July 2 to $1.18 to $1.23 per pound from $1.20
to $1.23 previously, with most market sources contacted by Metal Bulletin sister
title AMM reporting transactions at around $1.20 per pound. Transactions were
heard at roughly $1.15 per pound, most sources said, but they questioned the
veracity of those reports. One buyer said he recently received an offer for four
loads of 553 silicon metal at $1.15 per pound, but didn’t transact any metal at
that level. "That’s the lowest I’ve seen this year. ... (The market) seems to
have dropped off," he said, questioning whether the offer was representative of
the market or if the supplier was discounting to secure new business.