Tuesday, 06 October 2009
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NEWS ALERT
Antimony leaps to 11-month highs, hits $6,100/6,300 on spot squeeze
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London, 06 October 2009 - Antimony jumped above $6,000 per tonne this week in Europe for the first time since November 2008, as key supplier China's absence from the market triggered a scramble for spot metal.

"China upped the price before they went away on holiday, so you have seen business above $6,000," a trader said.

"They [the Chinese] are out so there is a bit of a panic for prompt parcels," another trader said.

Standard grade antimony was quoted at $6,100/6,300 per tonne, up some $200 over the last week, and looks set to move higher still when the Chinese Golden Week shutdown ends at the end of this week.

"There is a squeeze for prompt. There is not that much actual business but there is nothing on the water [being shipped from China]," the second trader said. "When China comes back you may find that offers for 'afloat', which were around $5,900, will be higher."

China is progressively exerting greater control over the market not only by raising its offer prices but also ensuring that there is no breaking of ranks among producers and undercutting the market. The country produced 150,000 tonnes of antimony out of total 2008 global output of 165,000 tonnes.

(Editing by Mark Shaw)
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