On the positive side, copper rose about 10 cents on Friday and has held this price today. As we have stated here, the U.S. Dollar being strong is one of the reasons copper has declined in price. On Friday, the dollar was a bit weaker, which was one of the reasons for copper to now be at about a two month high.
|Copper Prices – CME Group
Aluminum prices after months of declines seem to be steadying, yet some items such as UBSs (beverage cans) are still in decline.
|Aluminum Prices – American Metal Market|
Steel prices held their own this week. As for next month, some are saying that we have hit the bottom, but that is not clear. We remain at a multi-year low in steel prices.
|Steel Prices – American Metal Market|
|Steel Production – American Iron and Steel Institute|
Oil prices remain a major factor in recycling with both positive and negative effects. Oil hit an 6 year low this past week, which means gas price around the world remain low, which will help fuel consumer demand in the coming months. This means people could buy more cars, trucks and houses, which would help metal prices. On the negative side, the oil and gas drilling industry continues to be hurt, which means they are buying less steel for their drilling rigs and therefore layoffs at steel mills will continue. The U.S. oil rig count is now at 866 rigs, compared to 1,473 last year, down an incredible 44 percent.
There were no changes in our scrap metal prices last week in North Carolina, with our Raleigh prices of #1 copper being $2.20 per pound, but we see that prices may go up this week. Prepared Steel is still being purchased for $6.25 per hundred pounds.
With that we hope all have a Safe and Profitable week. Tune in next week for the Monday Commodity and Recycling report.