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Why Do Cable Prices Fluctuate So Much?

We sell a lot of cables - bulk cat5e, VGA cables, USB extension cables - the list goes on and on, but I won’t bore you with the details.

One question that we frequently hear from customers, though, is why do cable prices fluctuate so much? We try to hold our prices steady on small quanties (under 1k), but really large companies always want to know why the prices can easily fluctuate by 10% within less than 30 days.

The answer might not be obvious to everybody, but the vast majority of the fluctuation is a result of changes in copper prices. The most expensive component in just about any high quality cable is the spot market for copper. Nobody wants to make a huge gamble on copper prices by taking a huge inventory (because if the price drops the next day they are underwater), so most manufacturers buy it on the “spot market” where prices change every day.

Interested to know recent trends for copper? Check this out.

Again, we do everything in our power to hold our prices steady, but next time you wonder why a cable costs a lot more (or less) than the last time you saw it, go check the price of copper - you’ll probably see a correlation!


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