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LME Mo Price Reaches All-time Low in 16 Months
= Due to oversupply in market and anticipation of China's easing of regulations =
LME molybdenum price (cash seller and settlement) as of December 9 hovered at a low level of US$20,100 per ton (US$9.12 per lb). This marked a new record low for the year, and was an all-time low in 16 months since July 22, 2013.

Traders concerned with the market provide such factors for the price hovering at a low level as (1) Demand and supply balance in the market is still in a state of excess supply, (2) Such anticipation becomes strong as China will ease the export regulation on molybdenum (20% export duty and export quota) from January 2015 and (3) The strike at Antamina mine which ended in the end of November did not give a heavy impact to its production.

Besides, in China as the biggest consuming country, the customers' motivation is low, and as some of producers are in a hurry to convert products into cash, many of market watchers predict the market price will continue to drop from now onwards as well.
last modified : Tue 16 Dec, 2014 [11:08]
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