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Money

Antimony extends gains in Shanghai

(China Daily)
Updated: 2010-04-21 11:21
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SHANGHAI - Antimony prices in Shanghai extended gains from two weeks earlier, with prices likely to remain strong in the next month or two before supply improves, industry sources said on Tuesday.

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The local government in China's central province of Hunan, which contributes about 60 percent of the world's antimony output, has closed hundreds of illegal antimony smelters since late March.

"We may still see prices rise further, but it should be the end of a fast rally," said an Asian Metal analyst based in Beijing. "In a month or two, some smelters may get approval to re-launch production, while other small ones may be absorbed into bigger ones. But if the crackdown goes on for another six months or a year, supply will be extremely tight."

Reuters