Scrap Metal Price Change
Ever wonder what makes the price of scrap metal price change so often? Well, we thought we would shed some light on a few of the many reasons (going beyond inflation, wages and cost of goods) and take a look at some organic reasons every few days we see a few dollars more or less on our receipts.
Types of Metals
There are countless types of metals and each of them has subcategories. For example Copper isn’t just Copper. Copper could be Bare Bright Copper, Copper #1, Copper # 2, and Copper #3. After you’ve become familiar with each metal and it’s subcategories, then you must realize that different scrap dealers might classify the same piece of metal differently. Looking at one piece of Copper, one dealer might call it Copper #2 and another might call it Copper #3. It’s important to become familiar with the local scrap dealers and how they classify different material.
Location, Location, Location
For the most part, you can find the best prices for scrap metal at locations nearest you. The area’s where scrap metal is harder to come by, the scrap value will be higher and scrap will be more expensive. To maximize your return on investment, find local scrap yards to reduce shipping costs, in turn lowering the price of the scrap metal.
How Much Scrap You Have to Sell
The larger the quantities of scrap metal, the more leverage you have when buying or selling your scrap. When buying scrap, if you can buy in bulk it will reduce the cost per pound. On the other side of the coin, when scrap dealers call you, they are more likely to buy your scrap if they can buy in bulk themselves. If you can hold on to your scrap metal and sell your scrap in bulk then you will notice it will be easier to sell to other scrap dealers in your city.
The Price Yesterday
The price of different scrap metals change on a daily basis. It is important to check for the current prices of metals. A good resource to find current scrap metal prices is The Scrap Post. Being knowledgeable of what the market is buying and selling is essential to improve your margins.