Copper Charges Higher as Supply Fears Fuel Fresh Rally
Copper rose by 1 per cent to $11,257 a tonne, bringing its gains to about 28 per cent this year
Quick overview
- Copper rose by 1% to $11,257 a tonne, marking a 28% increase this year.
- Zinc and aluminium also saw gains, while iron ore futures increased by 0.2% to $104.1 a tonne.
- Investor demand for copper is supported by concerns about global supply and speculation of an imminent shortage.
- Supply disruptions from various countries and challenging supply talks among Chinese smelters and miners are impacting the copper market.
Copper rose by 1 per cent to $11,257 a tonne, bringing its gains to about 28 per cent this year.
Zinc increased by 0.4 per cent, and aluminium by 1 per cent, while iron ore futures on the Singapore Exchange grew 0.2 per cent to $104.1 a tonne.
Investors are awaiting a series of US data releases scheduled for later Wednesday, including reports on private sector employment, import prices, and industrial output.
Concerns about global supply supported investor demand for the metal, which is vital to the green transition, and copper traded close to its record high earlier this week. Prices dipped after hitting an all-time high on Monday, but have since rallied along with other industrial metals.
Recent weeks have seen gains driven by speculation of an imminent shortage, as traders divert substantial amounts of the metal to the US to avoid potential import tariffs. Supply disruptions from Indonesia to Chile and the Democratic Republic of the Congo, caused by several unplanned mine outages, have dominated the copper market this year.
Chinese smelters and miners are engaged in supply talks for 2026 that are proving challenging, as miners hold the upper hand.
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