NEW YORK Prices
for secondary aluminum alloy A380.1, primarily used in
automotive production, weakened slightly over the past week,
with major consumers lowering quotes by about a penny.
One producer source
indicated that he would no longer concede to pricing pressure
from consumers. "I dont know what the other guys are
doing, but we are drawing a line in the sand and saying we are
not going to sell domestic production alloy below a certain
level," he said. "We are not doing huge quantities, but we are
making deals at higher levels than we have in recent
Most producers put
A380.1 in a range of $1.03 to $1.05 per pound vs. $1.03 to
A second producer
source claimed that $1.05 was virtually unattainable in the
current market. "Anyone that says they are selling at or above
$1.05 is either selling something super-specialized or is
flat-out lying," he said. "People wont pay over a certain
threshold right now. Its that simple."
Others noted that
demand from the automotive sector, which has been quite robust
throughout the summer, may be showing signs of slowing down.
"The car business seems to be pretty strong, though I get the
feeling that its not as strong as everyone says it is," a
source at a major die caster told AMM. "We just
dont seem to be as busy as we were last year. We
cant raise quotes with that kind of uncertainty."
Meanwhile, prices for
mill-grade aluminum scrap moved mostly in step with a slight
decline on the London Metal Exchange. Prices for 5052
segregated low-copper alloy clips fell to 87 to 89 cents per
pound Aug. 22 from 89 to 91 cents previously, 3105 clips edged
down to 79 to 81 cents per pound from 80 to 82 cents, mixed
low-copper alloy clips slipped to 77 to 78 cents per pound from
78 to 79 cents and painted siding decreased to 74 to 76 cents
per pound from 75 to 77 cents.
The primary aluminum
cash contract on the LME ended the official session Aug. 22 at
$1,857.50 per tonne (84.3 cents per pound), down 0.8 percent
from $1,872.50 per tonne (84.9 cents per pound) at the
beginning of the week.