The metal market as a whole has been hit hard because of fears of the economy going into a recession and the banking crisis in the US.
Yesterday we saw copper go down to around the $3.70 mark,
this is pretty wild considering a little less than a year ago we saw copper at $4.55 and even in the $4.70s.
Steel is also down this month with HMS #1 down $40-$50 a ton for May. This was a much
larger decrease this month then anticipated for HMS #1.
Expectations are for interest rates to stay higher for longer than anyone expected.
So when interest rates stay high businesses have a hard time getting credit because the banks don’t want to loan to people.
This is because their deposits are going down as well and they don’t have as much money to loan out.
Our plan is to stay positive through it all and keep buying scrap as always.
We hope that things will smoothen out within the next couple months and we see the banks and economy bounce back.
We will keep you all updated throughout the process.