A question to @jitenp and all other cyclical veterans here.
Ferrochrome prices are in a cyclical uptrend (chart attached) and moreover, discount in long term contacts over European Benchmark Ferrochrome price has settled at 10-15% over 30-35% earlier (Source:MetalBulletin.com).
Globally Ferrochrome plays have already crossed their October 2017 highs. Rupee has depreciated and South African Rand has appreciated which may be considered positive for these export oriented plays. Local unrest was also in just one player and not an industry issue.
So, the million dollar question is what is the reason for this divergence? What does the market know and pricing it in that I don’t know or can’t understand?