US weekly brass scrap spreads tightened for the second successive week on Friday as demand strengthened.
The weekly Davis Index for C-200 series alloy’s copper spread tightened by 1.1¢/lb to 11.6¢/lb under the Comex copper spot contract. The C-200 series zinc spread, also tightened by 0.6¢/lb to 6.1¢/lb under the LME zinc cash contract.
Buyers have returned to the market to purchase brass for April deliveries. Demand for additional volumes along with a tight supply of some brass grades, especially red brass, has spurred transaction prices higher this week. On the other hand, prices of grades that are well supplied remained flat or inched down as supply and demand balanced.
The weekly Davis Index for 360-rod borings declined by 2¢/lb to $2.88/lb delivered US consumer and brass radiators increased by 10.5¢/lb to $2.195/lb delivered as more buyers sought the grade. The index for Red Brass solids continued to rise for the second successive week, moving up by 9¢/lb to $2.891/lb delivered.
The supply for red brass remains very limited with buyers finding it difficult to procure volumes for red grades despite raising bids.
The Comex spot copper contract settled at $4.003/lb on Thursday up by 1.8¢/lb from Mar 26. The spot LME zinc official contract decreased on Thursday by $42/mt from Mar 26 to close at $2,766/mt. The LME and Comex markets were closed on Friday for the Easter weekend.