In this list

Molybdenum Oxide Daily Dealer futures contract launches on CME

Metals | Steel

Platts World Steel Review

Petrochemicals | Polymers

Buyers’ choice: Global oversupply of single-use plastics makes recycling uneconomical

Oil | Energy Transition | Energy

APPEC 2024

Energy | Electric Power | Electricity

PJM states forging ahead to create a voluntary forward clean energy market

Metals | Steel

US Midwest shredded steel scrap

Agriculture | Energy | Energy Transition | Petrochemicals | Oil | Sugar | Biofuels | Renewables | Hydrogen | Emissions | Carbon | Aromatics | Olefins | Refined Products | Jet Fuel | Crude Oil | Naphtha | Polymers

Bionaphtha for plastics: a building block towards sustainability

For full access to real-time updates, breaking news, analysis, pricing and data visualization subscribe today.

Subscribe Now

Molybdenum Oxide Daily Dealer futures contract launches on CME


First trade report on March 13

Contract settled against Platts Molybdenum Oxide Daily Dealer (Global) futures

Global market in a structural deficit

  • Author
  • Euan Sadden    Benjamin Steven
  • Editor
  • Daniel Lalor
  • Commodity
  • Metals

Trading exchange operator CME Group has launched a molybdenum oxide contract settled against the Molybdenum Oxide Daily Dealer (Global) futures contract provided by Platts, part of S&P Global Commodity Insights, with the first trade reported March 13.

Not registered?

Receive daily email alerts, subscriber notes & personalize your experience.

Register Now

A contract for a 17 mt consignment of molybdenum oxide for the October 2023 to February 2024 strip changed hands at $34.25/mt, according to market sources.

The Molybdenum Oxide Daily Dealer (Global) futures contract reflects bids, offers and transactions between traders, steel mills and other users in the open, physical spot markets of roasted molybdenum concentrates containing a minimum of 57% molybdenum and a maximum of 0.5% copper, 0.05% lead.

Molybdenum, typically a byproduct of copper mining, is also seeing the impact of unexpected disruptions in the copper mining sector in South America, on top of an expected structural deficit in 2023.

The global market for molybdenum, a byproduct of copper mining, has been seeing a structural deficit arising from social unrest in Peru which has disrupted output across the domestic copper mining industry.

Within that context, short covering from traders has generated volatility in across global and regional molybdenum oxide markets, with prices almost doubling from $20.2/lb Mo to $38.5/lb Mo between November 30 and February 2.

Given tight supply, many market stakeholders see current price levels of $31.90-$33.90/lb Mo as the bottom of the market, with prices expected to increase as traders begin to cover and compete for deliveries later in March.

Locking in strip price lots at slightly higher prices appears an attractive prospect given the bullish market sentiment, offering hedging opportunities that could help mitigate the ongoing price volatility expected to persist for the remainder of 2023.

Platt assessed the Daily Dealer Molybdenum Oxide (Global) assessment at $32.90/lb on March 10, based on a range of $31.90/lb-$33.90/lb Mo, up 57% from an assessed price of $20.90/lb on Dec. 1.