Thursday, July 3, 2003
North America Activity in the U.S. DRAM spot market was confined to bids and offers on Tuesday. In spite of thin trading, prices for SDRAM and DDR modules were assessed higher. Sources noted that, in the absence of confirmed deals, the new levels were considered notional, however, market participants remain optimistic that price levels will hold.
Asia/Pacific Prices continue to hold steady although sellers reported marginally firmer numbers for DDR 333 and DDR 400 components. Demand remains weak in key trading centers of Hong Kong and Taiwan. Indeed, after a mass demonstration in Hong Kong yesterday, participants remain on the sidelines to mull market trends. Sellers talk about firmer demand in 2H July when Chinese end-users are expected to replenish stocks. DDR 266 32x8 chips remain around $3.60/chip for major brands while trades for DDR 333 types range between $4.00-4.10/chip. Spot trades for newer generation DDR 400 32x8 chips are quoted around $5.10/chip.
June contract numbers are cited higher for the benchmark DDR 266 chips. Term businesses are reportedly settled largely between $1.70-2.10/chip for DDR 266 16x8 chips. Contract numbers for higher capacity DDR 266 32x8 parts are also quoted higher, between USD 3.50-4.10/chip. SDRAM term prices have been rolled over.
Europe No change to spot values was heard on Wednesday, despite players awaiting a slight drop in prices for chips. The PC 133 16x8 chip continued to be quoted at $2.50-3.00/chip and the 32x8 at $2.95-3.55/chip. Module prices were heard within the above ranges.
Contract business for May has still not been confirmed, therefore the above range remains unchanged.
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