Copper Hits Five-Month Peak

2025-12-26 04:34 By Mariene Camarillo 1 min. read

Copper futures rose up to $5.7 per pound before partially paring gains on Friday, a five-month high as global markets reacted to strong demand and supply constraints.

The metal continues to benefit from the global energy transition, contributing to its 42% annual gain in New York.

Prices were further supported by a recent slump in the US dollar, which made raw materials more affordable for international buyers, while concerns persist over potential US tariff reviews in 2026, raising the risk of supply tightness for global markets.

Structural demand for copper remains robust, driven by long-term trends in electric vehicles, renewable energy projects, power grid expansion, and AI infrastructure development.

In China, prices rose 2.7% to $14,090 per ton as top copper smelters once again declined to set first-quarter 2026 processing fee guidance, reflecting ongoing feedstock shortages and record-low processing charges.



News Stream
Copper Rises on Tighter Supply
Copper futures rose above $6.6 per pound on Tuesday, extending gains for a second consecutive session amid ongoing supply-side constraints. Data showed that copper output in top producer Chile fell 9.4% in July from a year earlier, highlighting tightening conditions in global markets. Mining disruptions in Chile, as well as in major producers Indonesia and the Democratic Republic of Congo, have further fueled concerns over supply. Meanwhile, a recent supply squeeze in London showed signs of easing, with the premium for spot copper over three-month futures narrowing. The London Metal Exchange also reported improving inventories as metal deliveries increased. However, traders continued redirecting copper shipments toward the US ahead of potential new import tariffs, with the White House yet to make a decision on the issue.
2026-09-01
Copper Edges Lower as Dollar Strengthens
Copper futures eased to around $6.55 per pound on Monday, falling for a fourth straight session as the dollar strengthened amid growing expectations that the Federal Reserve will raise interest rates next month following hawkish remarks from Chair Kevin Warsh. A stronger dollar makes greenback-priced commodities such as copper more expensive for buyers using other currencies, weighing on near-term demand. There were also signs that the supply squeeze may be easing, with the premium for spot copper over three-month futures narrowing. Additionally, LME inventories have improved recently as metal deliveries increased. However, traders continued diverting copper shipments toward the US ahead of potential new import tariffs, tightening supplies in global markets. Mining disruptions in major producers Indonesia, Congo and Chile also added to concerns over supply.
2026-08-31
Copper Hovers Near Record High
Copper futures slipped to around $6.6 per pound, but stayed close to all-time highs as supply-side risks persisted despite a recent easing of the market squeeze. Traders continued to divert shipments toward the US amid elevated premiums and expectations of new tariffs under the Trump administration, with the White House yet to make a final decision on the matter. Copper inventories in warehouses tracked by the London Metal Exchange have fallen by almost half since mid-May following a 42-day streak of declines. Elsewhere, Zijin Mining warned that flooding at the Kamoa-Kakula copper complex in the Democratic Republic of Congo could cut its share of production by as much as 57,000 tons this year, underscoring ongoing risks to global supply. On the demand side, Chinese smelters have faced difficulties securing feedstock, increasing the need for imports.
2026-08-26