Non-ferrous metals have taken a hit in price since markets returned following the bank holiday weekends.
According to some non-ferrous metal recyclers, the higher copper grades have begun to fall considerably, a trend which may continue as disruption in the Middle East holds up operations and worries investors. One expert reported that the financial markets initially responded well to the news of Osama Bin Laden’s death but with fears that terrorists may respond to this with attacks, activity was cautious.
A metal merchant from the north-east said: “We expected to see a dip just before the bank holiday and then for them to recover when we got back on Tuesday (4 May) but actually the high copper grades have come off further. I think it will keep on going down, because the copper price has been too high lately.”
The MRW prices for copper grades have dropped by £50 to £100/tonne.
Another recycler from the midlands said: “All the markets are coming off a lot. We’ve seen some metal grades come off £150 a tonne and we expect there to be more drops.”
Car production in Japan has also fallen to half of what it was, which has led to reduced materials demand and meant the price of some metals has slipped.
Other metal recyclers have not yet seen a dip in price, but expect it to come soon.