Copper Rises as Supply Concerns Persist

2026-08-21 03:43 By Jam Kaimo Samonte 1 min. read

Copper futures climbed above $6.5 per pound on Friday, recovering losses from earlier in the week as tight physical supply continued to underpin prices.

The copper market remains vulnerable after months of outflows, partly due to metal being diverted to the US ahead of anticipated tariffs.

Top producer Chile also expects copper output to decline this year as ongoing disruptions continue to weigh on mines and development projects.

However, a recent increase in metal deliveries to London Metal Exchange warehouses helped ease a historic supply squeeze.

Elsewhere, copper prices were supported by a weaker dollar as skepticism over the US government’s bond buyback plan reduced the greenback’s appeal, boosting demand for metals and other currencies.

Meanwhile, investors continued to monitor geopolitical developments as the US prepares sweeping new economic sanctions against Iran, pushing oil prices higher and adding to inflation concerns.



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Copper Rises as Supply Concerns Persist
Copper futures climbed above $6.5 per pound on Friday, recovering losses from earlier in the week as tight physical supply continued to underpin prices. The copper market remains vulnerable after months of outflows, partly due to metal being diverted to the US ahead of anticipated tariffs. Top producer Chile also expects copper output to decline this year as ongoing disruptions continue to weigh on mines and development projects. However, a recent increase in metal deliveries to London Metal Exchange warehouses helped ease a historic supply squeeze. Elsewhere, copper prices were supported by a weaker dollar as skepticism over the US government’s bond buyback plan reduced the greenback’s appeal, boosting demand for metals and other currencies. Meanwhile, investors continued to monitor geopolitical developments as the US prepares sweeping new economic sanctions against Iran, pushing oil prices higher and adding to inflation concerns.
2026-08-21
Copper Holds Decline as Supply Squeeze Eases
Copper futures held a recent decline to trade around $6.46 per pound as a pickup in metal deliveries to London Metal Exchange warehouses helped relieve a historic supply squeeze. LME copper inventories climbed by 20,000 tons on Tuesday, marking their biggest daily increase since April, with Trafigura Group reportedly responsible for a substantial portion of the inflows. Copper had rallied to record highs earlier this month as tightening global supply fueled gains, largely reflecting an arbitrage trade ahead of potential US import tariffs. Meanwhile, top producer Chile expects copper output to decline this year as ongoing disruptions continue to affect mines and development projects. The broader metals complex also faced pressure from elevated global bond yields and firmer oil prices, keeping inflationary pressures and interest rate risks at the forefront of investor concerns.
2026-08-19
Copper Falls on Profit-Taking
Copper futures fell to around $6.55 per pound on Tuesday, hitting a two-week low as investors locked in profits after the metal surged to record highs earlier this month. The broader metals market also remained under pressure from rising oil prices, which kept inflationary risks and interest rate concerns in focus. The moves came as prospects for a new agreement between the US and Iran dimmed after President Donald Trump said he was not interested in extending the interim peace deal. Meanwhile, signs of tightening global copper supply continued to provide a floor for prices, as the metal keeps flowing to the US and China while becoming increasingly scarce elsewhere. Top producer Chile also expects copper production to fall 2.6% this year amid persistent setbacks at mines and development projects.
2026-08-18