US weekly export copper scrap spreads widened for most grades for the second successive week on Wednesday following soaring Comex copper prices.
The Davis Index weekly spread for export #2 copper (birch/cliff) widened by 3.5¢/lb to 59.5¢/lb under the next active Comex copper contract while bare bright’s (barley) spread widened by 1.3¢/lb to 19.8¢/lb under Comex.
The Comex copper market, strengthened this week with the next active Comex contract soaring by 21.7¢/lb from last week to close at $4.512/lb on Wednesday on strong long-term fundamentals in the copper market.
Transaction prices for all grades increased this week with #2 copper rising by 19¢/lb to $3.92/lb fas and bare bright (barley) soaring by 21¢/lb to $4.31/lb fas US port.
The Davis Index spread for #1 copper wire and tube (berry/candy) widened by 1.5¢/lb to 27.1¢/lb under the next active Comex, with Wednesday’s transaction price increasing by 21¢/lb to $4.24/lb fas US port for the grade.
Participants in the copper export market await more stability in Comex and LME prices before resuming active trade. Meanwhile, spreads in the export market have widened more than US domestic, owing to higher freight costs and container shortages. Sluggish trade has kept them from widening significantly given the over 20¢/lb surge in Comex copper this week.