Zinc, Aluminum Premiums to Climb on Scarcity, Macquarie Says
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Premiums paid for zinc and aluminum in the U.S. probably will rise in the next few weeks because of the metals’ limited availability in the physical market, said Macquarie Bank Ltd.
Zinc premiums, added to the price of immediate-delivery metal on the London Metal Exchange, more than doubled in the past year to 6 to 7 cents a pound even as inventories swelled, Macquarie analysts including London-based Duncan Hobbs said in a report today. Much of the metal in LME-tracked stockpiles is unavailable for immediate use, according to the analysts.