Aluminium billet in the United States on Friday August 2 traded at its lowest premium since 2017 due to weak demand, while premiums in Europe, Brazil and Thailand were flat in quiet trading conditions.
US premium falls to lowest since February 2017No change in quiet European marketBrazilian market flat on weak economyThailand market unchanged due to stable supply US billet upcharge sinks to February 2017 levelsFastmarkets assessed the aluminium 6063 extrusion billet upcharge delivered Midwest US at 8.5-10.5 cents per lb on August 2, its first movement in four weeks.Illiquidity continues to dog the premium, with extruders maintaining their distance from the spot billet market. The upcharge fell to its lowest since February 2017, when the upcharge was at 9-10 cents per lb."There is some weakness in the underlying extrusion business, and that is having an impact on billet demand," one extruder said. "Given the uncertainty about forward demand, it makes sense to not go too long on billet. There are ample stocks that are available quickly."Said one US trader: "There's no billet deals being done. There's...