Raw material side, spot lithium carbonate prices continued to rise this week, driven by supply-side disruptions that continued to strengthen tighter Q2 expectations and significant position increases in far-month contracts. Nickel salt prices edged up, while the cobalt salt market remained lackluster and basically stable.

[SMM Silicone Weekly Review: As New Round of Expectations for Price Hike Released, Downstream Enterprises at Various Stages Purchased on Demand] This week, the transaction center of China's silicone DMC market remained stable, with mainstream transaction range at 14,700-15,000 yuan/mt. Regional quotations continued to diverge, with monomer enterprises in Shandong maintaining quotations at 14,700 yuan/mt, while mainstream quotations in other regions were 15,000-15,200 yuan/mt. Post-holiday market transactions were mainly driven by rigid demand, as mid- and downstream enterprises that had not purchased before the holiday entered the market to restock on demand. Currently, some upstream producers have pre-sale orders scheduled through month-end of May, and producers maintained a firm willingness to hold prices firm. Combined with the approaching industry conference in May, overall bullish sentiment in the market strengthened, which also drove downstream enterprises to enter the market for procurement.

[SMM Magnesium Weekly Review: Post-Holiday Magnesium Market Consolidates Weakly, Supply-Demand Dual Weakness Puts Prices Under Pressure] The magnesium industry chain was overall in the doldrums this week. Dolomite prices remained stable, with delivery-to-factory prices consolidating at highs. Magnesium ingot quotes fell due to weak post-holiday restocking and an increase in low-priced supplies, with FOB prices also edging down in tandem. The magnesium powder and magnesium alloy markets held steady with firm processing fees, but downstream buyers remained on the sidelines, presenting an overall pattern of strong supply and weak demand. In the short term, magnesium prices may continue to move sideways.

As of this Thursday, the SMM average price of battery-grade nickel sulphate rose compared to pre-holiday levels. Demand side, downstream players had not yet initiated large-scale procurement after the holiday, while some enterprises saw a recovery in May production schedules and still had certain raw material demand. Supply side, as nickel prices, MHP payables, and auxiliary material prices remained elevated this week, some producers faced high spot costs, and nickel salt quotations were correspondingly pushed up. Looking ahead, nickel salt cost support remains relatively strong in the near term, and attention should be paid to the cost support from nickel prices and intermediate products going forward. Inventory, the upstream nickel salt smelter inventory index rose slightly from 5.5 days to 5.6 days this week, the downstream precursor plant inventory index declined from 11 days to 10 days, and the integrated enterprise inventory index held at 6.8 days. In terms of buying and selling strength, the upstream nickel salt smelter Willingness to Sell Sentiment Factor held at 2 this week, the downstream precursor plant procurement sentiment factor declined from 2.9 to 2.6, and the integrated enterprise sentiment factor held at 2.6. (Historical data can be accessed by logging into the database.)

Today, SMM quoted premiums of TD-20 to 0 yuan/kg for the SGE Ag(T+D), with an average of -10 yuan/kg. As news of US-Iran peace talks boosted silver futures to surge, downstream purchase willingness was low with a wait-and-see attitude prevailing. Some traders had not yet participated in quotations after the Labour Day holiday, and suppliers generally reported that transactions were quite difficult. During the morning session in Shanghai, suppliers of national-standard silver ingots quoted mainstream quotations against TD at discounts of 20 yuan/kg to 0 yuan/kg. Some non-registered national-standard silver ingots deviated from mainstream quotations with discounts. Major smelter silver ingots were mostly quoted at TD discounts of 10 yuan/kg to parity, but transactions were difficult. Only some downstream enterprises made small purchases for rigid demand. In Shenzhen, a few non-delivery brands maintained larger discounts. The overall spot market remained sluggish today.

With continued signals about ending the Iran conflict, platinum futures prices continued to surge today. During the morning session, the most-traded PT2606 contract on the Guangzhou Futures Exchange (GFEX) closed at 519.05 yuan/gram, up 3.21%, and the inversion between SGE Pt9995 and GFEX PT2606 ended. Spot side, mainstream spot premiums widened slightly compared to the previous trading day. During the morning session, mainstream quotations from spot platinum traders were at a discount of 3-4 yuan/gram against the GFEX PT2606 contract, with some enterprises not participating in market quotations due to invoicing rectification or temporarily having no spot inventory. Transaction side, according to SMM, downstream purchase willingness was low amid the sharp rise in futures, with buyers taking a cautious wait-and-see approach. Morning mainstream quotations at a discount of 3-4 yuan/gram against GFEX saw few transactions, and overall spot market trading remained sluggish.

[SMM Lead Morning Meeting Minutes: Limited Macro and Fundamental Positives, Insufficient Momentum for Lead Price Increases] US Trump said a US-Iran deal was "very likely," threatening stronger bombing if talks failed. After the Labour Day holiday, the lead market resumed normal trading, with lead ingot arrivals increasing at warehouses in multiple regions...

[SMM Tungsten Daily Review: Tungsten Market Trading Sluggish, Awaiting Tomorrow's Long-Term Contract to Set the Tone] SMM May 6 News: On the first day after the holiday, China's tungsten market continued its weak consolidation trend. The upstream raw material market was waiting for tomorrow's long-term contract guidance price, with very few transactions in the market. Downstream powder and cemented carbide intermediate products showed a catch-up decline. Wait-and-see sentiment pervaded the market, with transactions across all segments dominated by scattered small orders for rigid demand, lacking support from bulk transactions.

On May 6, 2026, following a brief morning suspension, one of the Indonesia's stainless steel mill raised export quotations across all series by $30/mt. According to SMM analysis, the hike is driven by the convergence of positive holiday-period policies and the introduction of "windfall tax" expectations, which have funneled cost premiums directly to downstream products. Indonesian 304 CRC FOB offers are now positioned at approximately $2,227/mt. Bullish sentiment is expected to ripple across Asia as the solidified cost floor pressures other regional producers to follow suit.

[SMM Chrome Daily Review: Post-Holiday Market Temporarily Stable, Trading Activity Limited] May 6, 2026: The ferrochrome and chrome ore market saw limited fluctuations...