Davis Index: Market Intelligence for the Global Metals and Recycled Materials Markets

US aluminum export prices rose across all grades on Thursday after Indian recyclers began looking for scrap aluminum as the country nears the end of a COVID-19 related shutdown.


The weekly Davis Index for 95/2 zorba increased by 0.5¢/lb to 40.8¢/lb fas US ports and increased by 0.9¢/lb for 99/3 zorba to 43.7¢/lb fas US port on Thursday. 


The index for taint/tabor decreased by 0.1¢/lb to 40.3¢/lb fas US ports and was higher by 0.2¢/lb for tense at 43.3¢/lb fas. 


According to market participants India is looking for more scrap material but also asking for discounts for previous shipments due to high demurrage costs accrued because the country’s shut down had kept material waiting at the ports. 


The official three-month LME aluminum contract decreased by $4/mt to close Thursday at $1,477/mt from $1,481/mt on May 7.


More aluminum scrap could become available in the form of ASR to be turned into zorba with scrap prices for ferrous material rebounding in May and talks of better pricing in June. However, price movement will be determined by the availability of scrap tons and in how much time those volumes come to the market. 

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