DRAM spot market prices have begun to rebound, according to DRAMeXchange. Market sentiment has been strengthened while buyers are more willing to raise their inventory levels.

DRAM spot prices were previously affected by an influx of downgraded 1Xnm chips in the spot market at rock-bottom prices due to product returns, DRAMeXchange indicated. Although downgraded chips are currently still being returned, memory module makers and channel brokers have become more willing to raise their inventories. With the stockpile of downgraded 1Xnm chips being quickly digested, spot prices have also started rising, DRAMeXchange said.

With spot market prices rebounding, contract prices may start their rally as early as the first quarter of 2020, DRAMeXchange noted.

Oversupply still persists in the DRAM market during the fourth quarter of 2019, despite suppliers' inventory adjustments over the previous five quarters, DRAMeXchange said. Such situation is unlikely to reverse until the middle of 2020, DRAMeXchange indicated.

DRAMeXchange forecasts that contract prices of PC DRAM, specialty DRAM and mobile DRAM products for the first quarter of 2020 will register minor sequential drops. And with an anticipated 5% rise in server DRAM ASPs, the overall DRAM ASPs for the first quarter will hold flat, according to DRAMeXchange.

By: DocMemory
Copyright © 2023 CST, Inc. All Rights Reserved