The US Midwest aluminium premium widened at the low end this week, amid talk of discounts because of falling scrap prices.
American Metal Market's latest assessment of the P1020 spot premium placed it at 20.5-21 cents per lb, the low end down slightly from 20.75-21 cents per lb in the Friday August 31 assessment. Reports of deals made below published premiums suggest that the scant amount of P1020 being moved on a spot basis has to be at lower premiums to entice buyers. The competition for buyers is stiff, given plummeting aluminium scrap prices. Buyers of aluminium scrap have told American Metal Market that oversupply has led to full buyer inventories, and they have therefore pulled out of the market.On the prime side, some of those attending the ISRI Commodities Roundtable held in Chicago from Wednesday September 5 to Friday September 7 said that a large stockpile of recycled scrap ingot is being held in Kentucky, and...