The spreads for US export copper scrap narrowed on Wednesday as supply tightened. Transactional prices moved up as well.
The next active Comex contract closed on Wednesday at $2.36/lb, up by 1¢/lb from $2.35/lb on May 6.
The weekly Davis Index for #1 copper wire and tube increased to $2.184/lb fas US port from $2.175/lb, while the index for #2 copper inched up to $2.048/lb fas US port on Wednesday, from $2.04/lb. The index for bare bright (barley) remained unchanged at $2.26/lb fas US port.
The Davis Index spread for #1 copper wire and tube (berry/candy) narrowed to 16.2¢/lb fas US ports under the next active Comex contract, tighter by 1.4¢/lb, while the spread for #2 copper (birch/cliff) was better by 2.3¢/lb at 29.4¢/lb fas US ports, under the next active month on Comex. The spread for bare bright (barley) narrowed by 0.02¢/lb to 8.3¢/lb fas under the next active Comex contract.
Supply of copper scrap remains tight globally, though the market is seeing some opportunistic buying that is helping narrow the spreads to generate sales and promote scrap flows.