CHICAGO Prices for A356.2 and C355.2 aluminum alloys have edged down despite firm demand in some sectors due to falling aluminum tags on the London Metal Exchange, market sources said.
AMM has lowered its price for A356.2 alloy to $1.26 per pound from $1.28 per pound previously and reduced its prices for C355.2 alloy from $1.33 per pound to $1.31 per pound.
The official cash price for LME aluminum was $1,998 per tonne Jan. 29, declining 5.5 percent from $2,009 per tonne Jan. 22.
The LME backed off a little bit, and we lost the wind to raise prices, one producer source said. But demand is still good, so well see what happens.
He said that his firm had sold some smaller quantities of C355.2 at as much as $1.35 per pound but also lost some sales, perhaps because of the higher price.
If we get a run up in LME, Im sure (C355.2 prices) will go up to $1.35. I cant do it all by myself, the producer source said. But demand is good, and were busy. Demand from the automotive sector has remained solid, he noted, and an improvement in construction activity might help bolster prices further.
However, another market source said that prices were trending downward because the LME always drives the prices on these two alloys.