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Report: Rare Earth Prices Fall Due to Sagging Demand

9:14 AM MST | November 23, 2011 | Vincent Valk

Prices for many rare earth oxides (REOs) fell by 25% between July and earlier this month, and some have fallen by as much as 40% in just the past month, according to a new report by IHS Global Insight (Lexington, MA) senior economist John Mothersole. IHS is the parent company of Chemical Week. REO prices rose at an accelerating rate for several years to the start of this year, before skyrocketing by 500% between January and July, Mothersole notes. Constrained supply, in a market with steadily rising demand dominated by production from China, has driven the rise...

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