High LME Price, Yen Rate to Lift Japan Cu Scrap Price

Copper scrap market price is firm around Tokyo when Japanese official copper ingot price could increase by more than 10,000 yen per tonne after offshore copper ingot price increased. The scrap dealers expect higher copper ingot price despite of the higher yen rate eyeing higher offer for the scrap.

Copper price increased by US$ 134 to US$ 8,400 per tonne at settlement of London Metal Exchange on Wednesday from Tuesday. Foreign exchange rate of yen was 82.60 yen per US dollar at telegraphic transfer selling rate in Tokyo on Thursday. With the conditions, theoretical official copper ingot price is more than 730,000 yen per tonne compared with current 720,000 yen. Some dealers expect higher price to liquidate high priced stock.

The scrap transaction was thin when the buyers and sellers wait the official price change. A dealer said the dealers have to offer more than 650 yen per kilogram for No.1 copper wire scrap with large lot. The price is 630 yen for new cutting copper scrap, 585 yen for standard grade copper scrap and 560 yen for lower grade scrap.