US zinc scrap prices inched down on Thursday in a quiet market.
LME Zinc prices declined this week with the three-month official LME zinc contract closing at $2,797/mt on Thursday, down by $72.50/mt from Apr 15.
The weekly Davis Index for zinc galvanizers bottom dross decreased by 0.5¢/lb to 79¢/lb delivered US consumer while zinc galvanizers top dross dropped by the same amount to 76¢/lb delivered. Supply and demand for these grades have remained balanced this week.
New zinc diecast was flat at 81¢/lb delivered US consumer and the Davis Index special high-grade zinc premium which had inched up by 0.1¢/lb last week, remained unchanged at 8.1¢/lb delivered today.
Market sentiment remains buoyant on optimism for steel and automotive demand in the near term and is expected to lift the demand and consumption of zinc scrap. Still, a global surplus in the primary zinc market, as reported in the latest report from the International Lead and Zinc Study Group (ILZSG) could impact high-grade premiums in the medium term.