Prices for secondary zinc alloys climbed by 1-2¢/lb making up for some of the losses from the steep decline last week.
Weekly LME Zinc prices increased with the official LME Zinc cash price settling Tuesday at $2,997.50/mt ($1.3596/lb) up by $32.50/mt from Aug 24 but remained slightly below the $3,000/mt mark that has become the new normal for LME Zinc prices over the past two months.
The weekly Davis Index for Zamak #2 increased by 1.2¢/lb to $1.585/lb delivered US consumer. Zamak #5 climbed by 1.7¢/lb to $1.57/lb delivered while both Zamak #3 and #7 rose by 2.2¢/lb to $1.555/lb delivered.
ZA 27 inched up by 0.2¢/lb to $1.685/lb delivered, while ZA 8 rose by 2.2¢/lb to $1.605/lb delivered and ZA 12 increased by 1.2¢/lb to $1.625/lb delivered US consumer.
Today’s inclines reflect buyers’ willingness to return to the spot market after striking bargains over the past two weeks when prices declined. Moreover, producers are seeing an uptick in demand despite the bleak outlook for the automotive industry in September and rising COVID-19 cases across the country. Still, high freight costs and raw material prices are expected to impact deals next month.