Davis Index: Market Intelligence for the Global Metals and Recycled Materials Markets

US weekly export copper scrap spreads were mixed on Wednesday in an inactive market after buyers retreated earlier in the week.


Exports remained muted for the second successive week on Wednesday as participants preferred to wait for the volatility on Comex and LME copper to subside. LME copper cash continued to trend down, closing on Wednesday at $9,289/mt. The next active Comex copper contract decreased by 1¢/lb to $4.31/lb today from Jun 16 after sliding to as low as $4.15/lb on Jun 21.


The Davis Index weekly spread for bare bright (barley) widened by 0.6¢/lb to 16.9¢/lb under the next active Comex copper contract, while #1 copper wire & tube (Berry Candy) remained unchanged at 25.8¢/lb under the next active Comex.


Transaction prices for copper scrap grades inched down on Wednesday with bare bright (barley) dropping by 1¢/lb to $4.13/lb fas US port and #1 copper wire & tube remaining at $4.05/lb fas.


The Davis Index weekly spread for export #2 copper (birch/cliff) narrowed by 3.1¢/lb to 59.2¢/lb under the next active Comex copper contract while the grade’s outright price increased by 3¢/lb to $3.72/lb fas US port. 


Asian buyers continue to shy away from the market, with no trades heard from this destination on Wednesday. Still, China was heard to be actively looking for loads of Yellow Brass (Honey) with fas US offers ranging from $2.54-2.69/lb today. However, no transactions were confirmed at those levels.


China announced today that it would be auctioning some of its copper reserves at the beginning of July. It remains to be seen if this announcement will cause further volatility in the market during the week.




Leave a Reply

Your email address will not be published.