NEW YORK Discounts for most copper scrap grades increased Oct. 25 as market players said that buyers and sellers were reevaluating their views about a perceived shortage of material.
"I dont think the tightness is really as severe as people have been saying," one copper scrap trader told AMM. "The only grade that seems to be experiencing supply issues is No. 1 copper scrap. Everything else seems to be flowing okay at this point, including bare bright."
Discounts for Ingot Makers No. 1 bare bright increased to 5 to 7 cents below Comex from 4 to 6 cents the week prior, putting prices at $3.20 to $3.22 per pound based on a December-delivery Comex copper contract settlement price of $3.2675 per pound Oct 23.
No. 1 copper scrap was unchanged at 10 to 12 cents below Comex ($3.15 to $3.17 per pound), No 2. copper rose three cents to 29 to 31 cents ($2.96 to $2.98 per pound) and the discount for light copper increased to 37 to 40 cents ($2.87 to $2.90 per pound) from a 35- to 38-cent discount Oct. 16.
Discounts for brass mill No. 1 copper scrap also rose to 3 to 5 cents below Comex from 2 to 3 cents previously, putting prices at $3.22 to $3.24 per pound. Refiners No. 1 copper scrap was even at 6 to 8 cents below Comex ($3.19 to $3.21 per pound).
Meanwhile, most brass scrap prices fell by about 2 to 3 cents as sellers said some manufacturers have been looking to transition out of the leaded-brass market.
Red brass (No. 1 composition solids) fell three cents to $2.45 to $2.49 per pound, composition borings and turnings dipped three cents to $2.42 to $2.45 per pound, radiators moved down to $2.13 to $2.15 per pound from $2.15 to $2.16 per pound previously and yellow brass solids edged down two cents to $2.08 to $2.10 per pound.