US lead scrap and whole undrained battery prices continued trending flat to slightly down for the second consecutive week on Wednesday.
The weekly Davis Index for whole undrained batteries decreased by 0.2¢/lb to 34.1¢/lb delivered US consumer on Wednesday, while the index for heavy soft lead went down by 0.1¢/lb to 67¢/lb delivered.
Battery producers have managed to balance supply with demand, while scrap yards are also reported to have an adequate supply of whole undrained batteries, according to a market participant. In the Midwest, battery, as well as soft lead scrap, prices have ticked up slightly, owing to a surge on LME lead.
Overall, supply and demand for lead scrap have stabilized over the past week, and buying activity has been consistent following a surge in July, as there’s enough supply to help buyers fill their volumes at current prices, market participants told Davis Index.
After rising slightly last week, the index for mixed hard lead was unchanged at 61¢/lb. Premiums, which swung widely in the past two weeks, were flat on Wednesday with the lead ingot premium holding at 8¢/lb under the three-month LME Lead contract, despite an increase in lead inventories at LME warehouses and a surge in LME lead prices.
The official three-month LME Lead contract closed Wednesday at $1,954/mt, increasing by $47/mt from $1,907/mt on August 5.