This week’s good news is that we don’t have any news worse than last week. We have not seen much of a market shift over the previous few days, but many things are going on that will disturb the markets that we are watching closely.
Things that you can immediately look at, like oil prices, are continuing to rage. With the European Union talking about cutting off all supplies with Russia within the next six months, we may see another increase in specific commodity prices as the squeeze begins. The squeeze will have a potential uptick on the Ferrous markets, and we will continue to watch that.
Non-Ferrous Prices & Market Status
Copper – HOLD
Aluminum – SELL
Brass – HOLD
Copper Wire – SELL
Stainless Steel – SELL
We have continued to see the copper prices decreasing over the last few weeks, and over the previous few days, they went down another $0.20-$0.30 per pound. These price decreases should not be surprising, and many of them are based on the Chinese returning to work in the next few days as they had Covid lockdowns and federal holidays. These lockdowns and oil prices have highly impacted copper prices over the last few days.
On Monday alone, we saw the copper prices dropping almost $.20 per pound, and those price drops were a continuation of the market drops that we saw last week. These markets overall are very dicey and as we’ve continued to say for many years getting material in and out as quickly as possible makes it so you continue not to get hurt. We expect to see the markets have instability, but in the same breath, we’re watching them very closely as oil prices and world politics are continuing to cause confusion and hostility in the commodities markets.
Non-Ferrous Price Chart of the Week
Ferrous Prices & Market Status
#1 Steel – HOLD
Shreddable Steel –SELL
Light Iron – SELL
Cast Iron – HOLD
Complete Car – SELL
We did not see another price drop on steel over the last week, while there may have been individual price drops at particular yards, those are just due to the domino effect of pricing decreases throughout the month of April. We expect to see the steel prices beginning to stabilize,e but with oil markets completely unstable, we hope to see a little further decline before things level off going into the summer.
We continue to stick to our belief that once you get material in the back of your truck that is light iron or some type of a lighter grade of steel that it’s never worth handling more than two times, the first time would be loading it and the second time would be unloading it. Once you start to touch things multiple times you start to lose time and money and you don’t always make more at the scrapyard, especially with markets that are unstable right now.
Ferrous Price Chart of the Week
Catalytic Converter Prices & Market Status
Catalytic Converters – SELL
With very few market movements over the last week, we have been pleasantly surprised to see the catalytic converter market stabilizing. We expect an increase in prices later this month as the further squeeze on the Russian market and lack of supply look to upset the market balance for materials like palladium. While the auto industry continues its shift toward electric vehicles, they still heavily rely on precious metals to put into the catalytic converter and that does not look to be decreasing anytime soon. More people are looking for more vehicles, which means that the supply will still be shortsighted as we’re facing supply chain issues and serious labor issues.
Other Metal Markets:
In the last few days, Nickel prices have decreased,d and we have seen stainless steel markets dropping because of that. These market decreases should not come as a surprise as they generally will follow other commodity decreases as we have seen copper decreasing heavily over the last two weeks. These market declines should not come as a surprise as we saw such a quick run up the first three months of this year that starting to see the market pullback just shows the instability overall.
With our new website coming out in the next few months we’re excited to show you the changes and requests that many of you have made to help you learn more about Scrap and make more money. As always we continue to welcome your thoughts and ideas so we can help learn what you’re looking for in the markets and what you are looking to learn more about.
We have a couple of videos and podcasts that feature some interviews with family inside the Scrap business and with Scrappers. If you’re looking to be featured, interviewed, or even interview any of the people at iScrap, let us know so we can get it together.