US zinc secondary alloys prices rose by 2-3¢/lb as business remained robust and the LME Zinc market moved higher.
LME Zinc cash offers closed at $1.2768/lb on Tuesday up from $1.241/lb last week while the official three-month LME Zinc contract increased by $77/mt from Mar 9 to $2,857/mt on Tuesday.
The weekly Davis Index for Zamak #2 increased by 2.5¢/lb to $1.485/lb while both Zamak #3 and Zamak #7 increased by the same amount to $1.455/lb. Zamak #5 settled at $1.467/lb, up by 2.2¢/lb.
All the ZA grades increased by 2.5¢/lb with the index for ZA 8 and ZA 12 settling at $1.505/lb delivered and $1.525/lb delivered US consumer, respectively, while ZA 27 increased to $1.555/lb delivered.
Orders remain strong but suppliers are witnessing a fall in forward deals as buyers are preferring need-based purchases compared to locking in deals for future volumes at the current price levels. However, the sentiment remains bullish amid increasing demand from the construction sector.