NEW YORK Secondary
aluminum alloy prices dipped May 9, with a slight loosening of
scrap supply allowing producers to acquire raw materials at
more attractive levels.
"We have definitely been able to
get scrap a little cheaper this (past) week," one alloy
producer said. "Some people seem really aggressive to
Prices for A380.1, which held
steady for nearly a month, widened to $1.03 to $1.05 per pound
from $1.04 to $1.05 previously.
"We have been hearing rumblings
that the Chinese are reducing their consumption of scrap," a
second producer said, adding that a prolonged reduction in
Chinese purchasing could improve the domestic supply picture.
"We are buying at lower prices. ... Hopefully, the trend will
Prices for 319.1 and 356.1 each
fell a penny to $1.08 to $1.09 per pound and $1.10 to $1.11 per
pound, respectively. The range on A413.1 widened to $1.09 to
$1.11 per pound from $1.10 to $1.11 May 6.
"We are lowering quotes because
scrap seems to be loosening up across the board," one scrap
buyer told AMM. "Everything is dropping, especially as
China seems to be taking a back seat, and we cant justify
paying (prices of a week ago)."
The cash primary aluminum
contract on the London Metal Exchange ended the official
session at $1,864.50 per tonne (84.6 cents per pound) May 9, up
2 percent from $1,828 per tonne (82.9 cents per pound) May 3.
But prices slipped Friday, ending the official session at
$1,848 per tonne.
Despite the LMEs recovery,
most grades of secondary smelters aluminum held steady
May 9, as sources said that perceived improvements in domestic
supply were keeping prices from rising in step with terminal
The only grade to register a
price change was used beverage cans (UBCs), which moved up to
76 to 78 cents per pound from 75 to 77 cents May 6.
Meanwhile, prices for mill-grade
aluminum scrap were up across the board May 9, with some
sellers holding material in the hopes of near-term rises on the
LME, market participants said.
Prices for 5052 segregated
low-copper alloy clips increased 2 cents to 89 to 91 cents per
pound from 87 to 89 cents, 3105 clips strengthened to 81 to 83
cents from 80 to 82 cents per pound, mill-grade mixed
low-copper alloy clips rose a penny to 79 to 81 cents per pound
from 78 to 80 cents, and painted siding edged up to 76 to 78
cents per pound from 75 to 77 cents.
All other secondary grades were