The weekly Davis Index for #1 copper wire (Berry) settled at $9,487/mt from $9,330/mt India port prior week, up by $157/mt in sync with the soaring copper prices on LME.
Secondary manufacturers in India are resisting new purchases hoping for a correction in LME copper. In several regions, authorities extended lockdown measures with few relaxations. Importers reported scrap material shortages in Europe and preferred to wait. Few importers reported subdued demand from China and other Asian countries amidst fluctuation in the copper prices on a global level.
The official three-month LME copper contract rose $155/mt to settle at $10,133.5/mt on June 2 from $9,978.5/mt on May 26, the prior week. In the past two weeks, the LME copper has moved either way and market participants are on the sidelines due to a lack of clarity on price direction.
The weekly Davis Index for #copper wire and tube (Berry Candy) settled at $9,120/mt from $8,980/mt up by $140/mt cfr India port.
The weekly Index for #2Copper Birch cliff settled $8,537/mt from $8,432/mt up by $105/mt cfr India port prior week. Few participants reported trades of Birch Cliff at 83pc, and others shared that offers remained at 85pc of the three-month copper contract.
Purchasing imported berry would be a viable option for manufacturers on the back of severe scarcity of material in the domestic market since April, said recyclers. Meanwhile, sources report that Chinese participants are no longer active and copper scrap imports into China have slowed. Pakistani buyers reported thin trades as many preferred to wait for clearer price direction.
The weekly Davis Index for yellow brass cfr India port settled at $5,941/mt from $5,644/mt up by $297/mt from the preceding week. The weekly Davis Index for yellow brass settled at $6,011/mt from $5,638/mt cif Asia port down by $373/mt driven by the price hike in the US origin brass scrap and shortage in the European market. The exporters from the US hiked yellow brass offers to 61.26-63pc of the three-month LME copper prices from 59pc of the three-month LME copper prices from the prior week.
Pakistan and China
The weekly Davis Index for copper ingots settled at $9,576/mt from $9,463/mt, up by $113/mt cfr China port from the prior week. Indian buyers reported weak demand for copper ingots while traders in Pakistan spoke of steady demand. The weekly Davis Index for Brass Billets cfr China port settled at $6,050/mt from $5,875/mt up by $175/mt from the prior week.