NEW YORK Aluminum scrap prices remained largely unchanged this week as they continued to follow primary aluminum prices on the London Metal Exchange, which was closed April 21 for a four-day Easter holiday.
With terminal markets inactive, most scrap prices remained flat April 21 compared with April 17.
Some market participants said they are paying close attention to prices for twitch (a nonferrous auto shred), which they anticipate may soften due to an oversupply of zorba, the feedstock for twitch (amm.com, April 18) Sellers of zorba have a limited market to go to now. ... Its best for them to serve domestically, one supplier said, while one trader said this trend could have a ripple effect on domestic aluminum prices.
With the LME reopening April 22, market participants expect scrap trading activity to resume this week. However, looking beyond April, some speculated that market activity could slow down for the spring and summer seasons.
The supplier said prices could slide or that some companies could pull out of the market altogether in May. Market numbers are down a bit so some consumers are backing away from buying as much as they were before, he said.
Meanwhile, some secondary aluminum alloy prices recorded a marginal drop this week following a previous softening in A380.1 prices, which slipped a penny April 17 to $1.06 to $1.08 per pound, as twitch prices weakened. A360.1 and A413.1 alloy prices both fell 1 cent to $1.11 to $1.13 per pound from $1.12 to $1.13 per pound previously.