NEW YORK Free-market
aluminum scrap and secondary alloy prices rose Monday as buyers
reported that scrap has become more difficult to purchase, with
some dealers withdrawing from the market until 2013.
Old cast rose to a range of 74
to 76 cents per pound from 73 to 75 cents previously, while
secondary-grade mixed low-copper clips increased to 75 to 77
cents per pound from 74 to 76 cents.
Meanwhile, 319.1 moved up to
$1.07 to $1.09 per pound from $1.06 to $1.08, and 356.1 widened
to $1.09 to $1.11 per pound from $1.09 to $1.10 and A413.1
tightened to a range of $1.09 to $1.10 per pound from $1.08 to
Alloy producers told
AMM they were continuing to quote $1.04 per pound for
A380.1, although they still predominantly transacted at $1.02
to $1.03 per pound.
"I wouldnt sell spot for
less than $1.04 based on the replacement cost. Scrap seems to
be getting more scarce," one alloy producer said. "Every year
at this time, the dealers that have made money will hold onto
scrap until the start of the new year. So Id say
well start with some hefty sales in January."
The majority of scrap buyers
contacted by AMM expressed similar views,
reporting that both buyers and sellers were flitting in and out
of the market.
"We had a couple of guys tell us
they had a good year and theyre now waiting for the
wintertime, when prices should be a little higher. You always
get that at this time of year. But none of the majors have said
anything like that," one buyer said.
"Maybe theres a genuine
shortage," a second buyer said. "A lot of metal was sold over
the last couple of weeks."
However, a third buyer said his
company is "not having any trouble buying."
The cash North American special
aluminum alloy contract (Nasaac) closed the London Metal
Exchanges official session at $1,970.50 per tonne (89.4
cents per pound) Tuesday, up 1.8 percent from Fridays
$1,935 per tonne (87.8 cents per pound).