NEW YORK Prices
for high-grade twitch, a nonferrous auto shred, have fallen
slightly over the past month, with market players warning that
further declines could loom for December.
Most sources contacted
by AMM pegged the price for twitch at around 77 to 79
cents per pound, down from 78 to 80 cents per pound in the
middle of October.
Buyers are taking a
closer look at inventory levels as the year comes to a close,
one trader said. "Business is still good, but volume is down
from the summer," he said. "I spoke to a major twitch consumer
today and they gave a sideways number to down a penny from last
month. Their overall sentiment is that there may be more
The trader added that
news of Bermco Aluminums temporary shutdown
(amm.com, Nov. 4) , could make twitch more plentiful
over the next three to four weeks. "You will probably see the
price head down as more material gets offered," he said.
Twitch prices are
largely based on molten demand in the South, one buyer said.
"With Bermco out, there could be a glut of material on the
market. We are anticipating a slow reduction in
pricemaybe 2 to 3 cents per poundby the end of the
A glut of material
could be compounded by a seasonal slowdown at major smelters,
he added. "Its a weird time of year right now," the buyer
said. "Major producers are looking to reduce inventories and
raise cash for their fourth-quarter balance sheets.