SÃO PAULO Most aluminum scrap prices in Brazil fell last week, according to a survey by the countrys aluminum association, Abal.
The decline was prompted by lower aluminum prices on the London Metal Exchange and a fall in the value of the Brazilian currency, market sources told AMM sister publication Metal Bulletin.
Scrap profile cuttings without contaminantsthe most expensive secondary aluminum grade in Brazilended the third week of March at 4,220 reais ($2,103) per tonne (95.4 cents per pound), down 0.9 percent from the previous week and a 1.2-percent drop from a month earlier.
Scrap profile cuttings with a maximum of 2 percent contaminants averaged 3,780 reais ($1,884) per tonne (85.4 cents per pound), down 0.3 percent from the second week of March and 0.8 percent lower than a month earlier.
The price of compacted scrap without contaminants and with a maximum of 2 percent oil and lubricants averaged 2,770 reais ($1,377) per tonne (62.5 cents per pound), down 1.1 percent week-on-week and month-on-month.
"Everybody is lowering prices following LME aluminums move downward. We did not, however, expect it to drop as much as it did," a Brazilian scrap source said.
"Oscillations in prices are due to LME (aluminum) variations and the currency rate," a second scrap buyer from São Paulo said.
The price of aluminium sheet and foil cuttings, painted or unpainted, with a maximum of 3 percent impurities, averaged 3,360 reais ($1,670) per tonne (75.7 cents per pound), up 0.6 percent from the second week of March but down 0.6 percent from a month earlier; loose or baled used beverage cans (UBCs) averaged 2,890 reais ($1,436) per tonne (65.1 cents per pound), up 2.8 percent week-on-week and month-on-month; and UBC briquettes remained unchanged at 3,050 reais ($1,516) per tonne (68.7 cents per pound).
A version of this article was first published by AMM sister publication Metal Bulletin.