US aluminum alloy prices shrug off Nasaac drop
Mar 12, 2013 | 01:51 PM
| Nathan Laliberte
NEW YORK Domestic prices for secondary aluminum alloys remain unchanged even as the London Metal Exchanges cash North American special aluminum alloy contract (Nasaac) plummeted March 11 to its lowest level since June 2010, validating a growing number of producers recent decision to delink their alloy sales prices from the published Nasaac price, sources said.
"The drop on Nasaac just goes to show that its no longer a viable contract for hedging," a source at one alloy producer said. "Its supposed to be based on supply and demand, but instead has become a trading tool for finance firms. If I were a betting man, I would put money on Nasaac going up for no other reason than traders are going to be jumping in looking for quick profits."....
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