NEW YORK Free-market
aluminum scrap prices largely recorded gains Thursday on the
back of rising London Metal Exchange prices, although alloy
producers say they continue to be undercut by the North
American special aluminum alloy contract (Nasaac).
Used beverage cans (UBCs) moved
up to a range of 70 to 72 cents per pound from 69 to 71 cents
previously, while aluminum-copper radiators rose to $1.59 to
$1.64 per pound from $1.57 to $1.62.
Mill-grade scrap prices also
increased, with painted siding moving up to 72 to 74 cents per
pound from 71 to 73 cents.
However, high-grade and
mixed-grade turnings fell, as one major consumer of the
material reported it was slowing its buying rates after filling
most of its needs earlier in the week.
High-grade turnings slipped to a
range of 66 to 68 cents per pound from 67 to 69 cents, while
mixed-grade turnings dropped to 61 to 63 cents per pound from
62 to 64 cents.
"I know other smelters are
complaining about the lack of flow, but were taking the
opportunity to drop numbers because we see the flow
increasing," a source at the consumer said.
The LMEs Nasaac cash price
closed Fridays official session at $1,825.50 per tonne
(82.8 cents per pound), down 1.1 percent from Tuesdays
close at $1,845.50 per tonne (83.7 cents per pound).
Sellers reportedly are still
hesitant to release material at depressed LME prices, with one
seller telling AMM that he is primarily selling on a
"need-to" basis. "Weve had a couple of consumers reach
out to us. People are looking for metal, but there are no
aggressive solicitations," he said. "We always have open
orders; theres not one item on our books that I
dont have an order on right now."
Meanwhile, A380.1 alloy prices
were unchanged at 97 to 99 cents per pound.
"The guys moving Nasaac out of
the warehouse are undercutting the market, and were
fighting back trying to keep some business," one producer
source said. "Scrap has got to come down or our price has got
to start coming up, because the margins arent very
healthy. Its lasted a while, but people will start
getting tired of losing money."
Nasaac stocks continued their
sustained drop, with the Detroit and Louisville, Ky.,
warehouses releasing a total of 120 tonnes over the course of