The weekly spreads for US domestic copper scrap grades were mixed, amid a rise in Comex copper prices and lack of physical trading.
The Comex copper spot market advanced to close at $3.82/lb on Feb 15, reaching its 11th consecutive monthly gain, before it corrected slightly to close Tuesday at $3.80/lb. Still, Tuesday’s close was around 6¢/lb above the spot Comex price on Feb 9.
The Davis Index spread for US bare bright copper scrap (barley) tightened by 0.5¢/lb to 14.4¢/lb under the February Comex contract on Tuesday, sending the transaction price for bare bright up by 7.6¢/lb to $3.645/lb delivered US consumer.
The spread for #1 copper wire & tube was at 25.7¢/lb under the February Comex contract, widening by 2.4¢/lb, with the weekly transaction price for the grade rising by 8¢/lb to $3.53/lb delivered.
The spread for #2 Light copper tightened by 0.2¢/lb to 48.4¢/lb under the February Comex contract while the transaction price increased by 3.5¢/lb to $3.404/lb delivered US consumer.
Scrap flows have been impacted across most of the US due to the inclement weather conditions that are likely to last until the end of this week. Sellers expect flows and physical trade to improve thereafter. Buyers also may gradually return to the market to procure volumes for March, and in some cases April, by the end of February, according to market participants.