Tuesday, July 7, 2009

The aluminum scrap sector is uncharacteristically busy these days, when the usual summer maintenance shut downs are often in effect. The reason for the activity is that this year Chrysler, Honda and Ford US plants are all operating, and their suppliers are building inventory in anticipation of continuous growth. However, similar to the steel business, which is also experiencing an inventory build, the positive vibes from increased activity will only go as far as actual consumer demand. Somewhere along the line, someone has to buy the products that the steel and auto industries are offering.

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