Copper Scrap Market Price Keeps Flat in Surging Mood, Japan

Copper scrap market price kept flat with potential increase in Japan on Monday. Japanese smelters’ breakeven point with imported copper ore was estimated at around 643,000 yen per tonne on Monday, increasing by about 10,000 yen from the presently announced ingot price by JX Nippon Mining & Metals Corporation. However, scrap dealers maintained cautious purchasing with concerns copper market price might turn down.

New York kerb on Friday was around US$ 6,745 per tonne, higher by US$ 85 than the previous day’s kerb. In addition, on Monday, telegraphic transfer selling rate represented 90 yen per US dollar for the first time since June 29. Japanese smelters’ breakeven point was estimated to become higher than 630,000 yen per tonne currently announced by JX Nippon Mining & Metals, the market indicator.

In Osaka, some scrap dealers were likely to offer 585-590 yen per kilogram for no.1 copper wire scrap and 510-515 yen per kg for middle grade copper scrap against scrap sellers on Monday due to significantly low scrap generation and offshore copper market upsurge. On the other hand, scrap sellers seem not to accept below 600 yen for no.1 copper wire scrap. Market price also strengthened at 412-417 yen per kg for new cutting brass scrap and 380-385 yen per kg for brass turning scrap.

In Tokyo, copper scrap dealers set their procurement price unchanged on Monday with slight plus range of copper ingot breakeven estimation. Meanwhile, scrap sellers showed strong price offers when scrap generation maintains very stagnant. Scrap dealers and sellers faced difficulties to seek approval price levels.

Market price was around 565-575 yen per kg for no.1 copper wire scrap on Monday while one large dealer said they must pay 585 yen to secure needed volume. Brass turning scrap price was around 375-380 yen per kg under very tight supply and demand balance. One dealer said they might approve 390 yen at highest.