First of all, we send our prayers to the conflict in Ukraine and hope that the problem will be resolved as peacefully as possible. As this conflict continues, we have a lot of problems in the metals markets and we will be paying attention to a few base metals like Palladium (catalytic converters) and copper as well as many other base metals we will be entering.
With this conflict affecting the metals market, we will be watching a few important metals whose prices may rise in the coming days and weeks. Copper is rising slightly, but may not be as affected by the rise in prices of other metals such as Nickel and Iron. One of the biggest commodities we pay attention to is oil markets, which are rising to levels not seen in over 10 years. You can contact us for metal scrap yard near me service.
Non Ferrous Prices
These oil prices will push copper and aluminum prices higher as tensions continue to rise. If you are looking for an indication of when metal prices may decline, you should look for pauses in overseas conflicts. If there is no solution abroad, we will see that prices are very volatile for a while.
Aluminum markets are climbing, but this is not due to the Ukraine conflict. Russia produces only 2% of the world’s aluminum, so we don’t expect to see too many cuts or rapid price increases.
Non-Ferrous Price Chart of the Week & Iron Prices
We are happy to see a nice price increase for all steel grades in the last few weeks, with the markets increasing by about $20-30 per tonne. We’ve seen strong growth from busheling to light iron and it seems to be moving steadily for the rest of the month. We expect gas and oil prices to continue to rise as more Russian supplies for world markets are cut off.
This conflict is making waves in several specific industries, from energy to metals, and these will continue to be the focus of attention on the economic side of the problems between Ukraine and Russia.
Catalytic Converter Prices
Palladium has been the metal that has attracted interest as prices go up and down with big swings. The chart below shows that Palladium (Pd) prices are now hitting 2022 highs, with the 30-day moving average up about 13%. With Russia producing about 40% of the world’s palladium, we will see big problems for catalytic converters in the automobile industry and big problems for the microprocessor markets.
These two markets are heavily dependent on Pd, and we expect to see major market shifts in the foreseeable future, with the prospect that much of the world’s Palladium will be turned upside down in the next few weeks, months, or possible years. We may witness palladium prices remain higher for the foreseeable future, and this will have forward-looking effects on things like car prices and electronics.