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

US Zinc scrap prices were either flat or decreased by a penny, depending on the grade, on Thursday. Weak demand and uncertainty over how COVID-19 will affect supplies has put downward pressure on the metal.


The weekly Davis Index dropped by 1¢ to 75¢/lb delivered for zinc galvanizers bottom dross, and to 70¢/lb delivered US consumers for zinc galvanizers top dross.


The index for new zinc diecast remained unchanged at 70¢/lb delivered US consumers on Thursday, while the premium for special high grade zinc held at 8.5¢/lb above LME zinc.


Market participants said demand for the metal has been soft for the last couple of weeks, which they expect will continue because the COVID-19 outbreak in the US has created uncertainty in the market. Zinc has also been one of the worst performing base metals on the LME since news of the outbreak in China began affecting the base metals index in January. The three-month official LME zinc contract closed Thursday at $1,942/mt, declining by $76.5/mt from $2,018.5/mt on March 5.


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