US aluminum export prices continued to rise for all grades over the week on supply concerns and whispers of China’s return to the market.
The cold weather, COVID-19 related shutdowns, and a stable demand for secondary alloys have market consumers looking for scrap aluminum ahead of the US holiday season when its availability could become tight.
The weekly Davis Index for 95/2 Zorba moved higher by 2.5¢/lb to 63.3¢/lb fas US ports, while 99/3 Zorba increased by 2.4¢/lb to 65.1¢/lb fas.
Taint/Tabor and Tense jumped this week, with the index for Taint/Tabor rising by 2.2¢/lb to 61.5¢/lb fas and Tense inching up by 0.1¢/lb to 60.7¢/lb fas US ports.
The index for 6063 new bare scrap stepped up by 2¢/lb to 90¢/lb fas, while A356 wheels were better this week at 77.5¢/lb fas, higher by a penny.
The official three-month LME Aluminium contract increased by $61.50/mt to $2,039.50/mt on Thursday, from $1,981.50/mt on Nov 26.
Bids for the material continue to rise while reasonable offers find little resistance in the current market. The rise in the ferrous scrap market expected in December will also do its part by bringing in more cars and the like for shredding, which should help produce more Zorba.