US copper scrap export spreads remained unchanged on Wednesday as demand from consumers remained muted.
Transactional prices increased by around 2¢/lb, up from last week, with the next-active Comex contract closing at $2.60/lb on Wednesday, up from $2.585/lb a week ago.
The Davis Index spreads for #1 copper wire and tube (Berry/Candy) fas US port remained unchanged at 24¢/lb, while spreads for #2 copper (Birch/Cliff) fas US port held at 43¢/lb under Comex. Bare Bright (Barley) spreads were also unchanged at 15¢/lb under Comex fas US ports.
The weekly Davis Index for #1 and #2 copper fas US port scrap grades increased on Wednesday with prices for #1 copper fas US port rising to $2.364/lb from $2.340/lb in the previous week. The Index for #2 copper fas US port was increased from $2.14/lb on Feb 5 to $2.16/lb on Wednesday. The Davis Index for Bare Bright (Barley) fas US port increased slightly from $2.43/lb to $2.45/lb.
The lack of demand from China, coupled with a drop of 23¢/lb in the next active Comex price from January 2, has allowed copper export spreads to remain flat for the past three weeks.
All eyes will be on China in the coming weeks as the country tries to restart production and increase demand for copper scrap after the first stages of the virus quarantine come to an end later this week.