When it comes to metal recycling, it’s always a good idea to keep an eye on what’s going on in the marketplace. Late in December, a mystery investor was said to have purchased up to 90% of the London Metal Exchange copper inventory. This nearly billion dollar bet on copper is causing market analysts to question why a single investor would create such a market squeeze by holding on to that much inventory. There are precious few details about this investor including whether or not the buyer was an actual copper consumer. As expected, there is a great deal of speculation as to whether the purchase was made in order to manipulate the market.
It’s unclear at this point how such a large copper purchase in Great Britain will affect the market here in the U.S., but it is clear that the world copper market will feel the effects. Some say that the output from mines in Chile will continue to force a bullish market.
It is clear that copper continues to be a highly recyclable material and valuable with regard to that process. Copper remains one of the most sought after products in metal recycling.
Intonu is a leading recycling facility in Atlanta and the southeast.