The recycling market enjoyed a solid month in March with ferrous scrap’s improving fortunes leading the way. Nonferrous scrap and recycled paper both remained stable.
Pricing for ferrous scrap increased in all domestic regions in March and reached yearly highs. The Southeast witnessed increases of $15-$30 per gross ton on major categories, while increases in the Midwest were between $20-$40. Though some strengthening was expected, the pricing increases were larger than most analysts’ forecasts. Market participants look for ferrous pricing to remain relatively unchanged in April.
Nonferrous scrap did not fare as well but did display stability. Aluminum scrap and copper scrap both traded at similar levels to February’s tags. Though nonferrous scrap is traditionally volatile, both aluminum and copper seem well positioned in the short term.
Aluminum will benefit from a strengthening automotive industry and a slowly thawing housing market. Low copper scrap supply may lead to rising prices for the red metal going forward.
Pricing in the recovered paper market also displayed strength. Prices for old corrugated containers (OCC) improved $10 per ton while sorted office paper (SOP) remained unchanged.
Disclaimer – Prices and market related information shown has been obtained by many sources across many commodity markets. InStream has not verified the information beyond our sources. Information is based on assumptions and projections based on current market drivers. This information is provided as a service and InStream is not recommending action based on the market information provided and is not responsible for the direction of markets and/or results based on the data provided.