The prices for US zinc scrap declined by 3-3.5¢/lb on Thursday after the LME Zinc market fell to December-end levels.
The LME Zinc market made up for its losses from the past two weeks with the three-month official LME Zinc contract closing on Thursday at $2,737/mt down by $126.50/mt from $2,863.50/mt on Jan 7.
Overall, business has remained buoyant and most market participants view the current declines as a short-term trend. However, the recent political tensions in the US and the incoming Biden administration are causing some uncertainty among buyers and sellers who prefer to hold off on deals until there is more clarity on economic and business policies, according to some participants.
Galvanizer grades dropped again this week with the weekly Davis Index for zinc galvanizers bottom dross decreasing by 3.4¢/lb to 75.3¢/lb delivered US consumer. Zinc galvanizers top dross also fell by 3.5¢/lb to 72.2¢/lb delivered.
The weekly Davis Index for new zinc diecast also inched down despite demand for the grade from the automotive industry. New zinc diecast prices decreased by 3¢/lb to 78.7¢/lb delivered US consumer, while special high-grade zinc premiums, remained at 8¢/lb under the three-month LME Zinc contract due to limited deals for SHG zinc during the week.