NEW YORK Prices for secondary aluminum smelters scrap were mostly steady Dec. 30 as sources said that upticks on the London Metal Exchange werent being reflected in secondary pricing because of a "limited holiday trading schedule."
The LMEs primary aluminum cash contract ended the official session Dec. 30 at $1,771 per tonne (80.3 cents per pound) Dec. 30, up 3.1 percent from $1,718 per tonne (77.9 cents per pound) Dec. 23. The contract lost some ground Dec. 31, closing at $1,764.50 per tonne (80 cents per pound).
Several market participants noted that despite higher exchange prices, secondary tags were mostly stagnant. "The LME is getting stronger but pricing is not moving much," one scrap seller told AMM, adding that tepid trading activity was serving to quell price volatility on the secondary market.
One major scrap buyer described the market as "still in a Holiday mode," noting that most participants werent expecting any price movement until the new year got under way.
Meanwhile, mill-grade aluminum scrap followed movement on terminal markets, with every grade assessed by AMM moving up a penny.
Secondary aluminum alloy prices also were steady Dec. 30, as sellers noted that if exchange prices continue to move higher, alloy tags will likely follow.