US zinc alloy prices trended flat with small downward movements across all grades on Tuesday.
The weekly Davis Index for both Zamak #3 and Zamak #7 fell from $1.114/lb delivered US consumer to $1.108/lb delivered on Tuesday. The index for Zamak #2 also dropped from $1.144/lb delivered to $1.138/lb delivered, and fell by four-tenths of a penny for Zamak #5 to $1.123/lb delivered.
The indices for zinc alloys also saw slight downward movements for ZA 8, ZA 12, and ZA 27 to $1.158/lb delivered, $1.178/lb delivered, and $1.188/lb delivered US consumer, respectively, on Tuesday.
The official LME zinc cash offers closed Tuesday at $0.9188/lb, increasing from $0.8958/lb on May 26. The official LME zinc three-month contract also closed Tuesday at $2029.5/mt, rising by $53.5/mt from $1,976/mt on May 26.
LME zinc, like most of the base metals index, remained volatile this past week amid increasing tensions between the US and China, and macroeconomic trends that point to a slow recovery from the COVID-19 crisis.
However, producers remain optimistic about stronger demand this month, especially with automotive manufacturers looking to ramp up production to make up for the past few months of factory shutdowns, which resulted in low output and sales.