Why Do Scrap Prices Fluctuate?

Scrap metal is an amazing way to help the environment and make money. If you have been looking at scrap metal recycling recently, you may have noticed that the scrap prices fluctuate. However, many people aren’t aware of the reasons. So, throughout this article, we will go over why scrap metal prices fluctuate, like local, domestic, and internal factors, ways to identify whether the prices are high or low, and how M&M Recycling can help. So, let’s start learning.

Factors That Affect The Prices

Many factors can impact the price of scrap metal. Let’s go over some of them:

• Local factors: If you have recycled your scrap metal before, you may have known that the price that a scrap metal company offers doesn’t match the market. There are many reasons for that. A scrap metal dealer has to process the metal and transport it to a bigger facility. The fuel and worker cost adds up and is reflected in the prices. The transportation fees can depend on the location, as dealers in rural areas would have to spend much more time and money to transport it to larger facilities. In addition, the process of heating, melting, and reshaping adds to the costs. For facilities to profit, they may also lower the price to buy more metal.
• Domestic and International Factors: Not all factors are dependent locally. There are also domestic and international factors that are put in effect throughout the world. One of these factors is supply and demand. If there is a higher demand for metals, you will see an increase in the price of metals. If there is a large supply of metals, the price would be lower as there is much of it. Another factor is the internal trade. International exports play a big role in the scrap metal industry. Because some of these items depend on other countries, there can be an increase in the rate of imports.

How Should You Know When To Sell

Knowing when to sell your scrap metal relies on when scrap prices are high and low. Although this depends on the metal type, we can make some inferences. For example, because construction activities increase during summer, you can expect increased demand for scrap metal. In colder months, these activities lessen and cause the demand to decrease.

M&M Recycling, Experienced Company At Your Door

In this article, we went over some reasons scrap prices fluctuate. As you can see, with a professional and trusted scrap metal company, you can get the most money. That’s where we come in. At M&M Recycling, we are here to help you get what you deserve. Being one of the top-paying scrap metal buyers in Atlanta makes scrap metal recycling easier for everyone. With our community support, dedicated staff, quality services, and helpful customer service, there is no time to waste. Call us today to learn more about us and our services or get more information on how much you can recycle scrap metal now.