NEW YORK Aluminum scrap prices were mostly flat as they continued to follow primary aluminum prices on the London Metal Exchange, which was closed May 5 for a bank holiday.
Prices for most obsolete and industrial grades of scrap sold to consumers remained firm May 5, while only a couple of grades softened, according to market participants.
Secondary mixed-grade turnings fell to 65 to 67 cents per pound from 66 to 68 cents May 1, while used beverage cans slipped to 80 to 81 cents per pound on a picked-up basis from 81 to 82 cents.
Buyers and sellers attributed the moderate weakness to a drop in the LMEs three-month aluminum contract, which settled at $1,777.50 per tonne (80.6 cents per pound) May 2, down 0.2 percent from $1,781 per tonne (80.8 cents per pound) May 1. The LME rebounded 0.8 percent May 6 to settle at $1,792 per tonne (81.3 cents per pound).
Prices for other major scrap grades were unchanged May 5, with 5052 segregated low-copper alloy clips holding at 91 to 93 cents per pound. "With the LME closed, people are very reluctant to sell anything," one buyer said.
Secondary alloy prices also were steady, with A380.1 alloy unchanged at $1.06 to $1.07 per pound.
Meanwhile, participants said scrap supplies are increasing due to improving weather conditions. "There is more metal coming into the pipeline right now, so were seeing a bit more activity," one trader said.