The Davis Index for brass scrap climbed in tandem with a stronger Comex market, which is working back to its peak of $3.20/lb.
The weekly Davis Index for 360-rod borings increased by 6.8¢/lb to $2.20/lb, delivered US consumers, and jumped for brass radiators by 4.2¢/lb to $1.74/lb delivered on Friday. Red brass (85:15) increased by 8¢/lb to $2.72/lb delivered, while mixed red brass surged by 10¢/lb to $2.17/lb delivered.
The weekly Davis Index for the C-200 series alloy copper spread was slightly wider at 13¢/lb under the Comex spot contract, weaker by 0.7¢/lb. The C-200 series zinc spread widened by 0.5¢/lb to 7¢/lb under the LME zinc cash contract.
The Comex spot copper contract increased on Friday to $3.14/lb from $3.04/lb on Oct 30, while the cash LME zinc official contract increased by $197.50/mt from Oct 30 to close at $2,614.50/mt on Friday.
China’s perceived presence in the market has helped prop up both the financial and physical copper scrap markets. As a result, market participants’ sentiments remain mixed about the winter months. Suppliers are optimistic about the demand prospect from China’s re-entry into the market, while consumers are concerned about the excess supply and the margin compression that comes with it.