US tariffs threaten to halt copper's surplus, as prices reach a new high
Analysts say that the prospect of U.S. tariffs on imports could drive copper prices to record levels, even though there's no shortage of the metal in the world. This is because the incentive to ship to the United States will drain inventories from other countries. After recent orders to remove 65,400 metric tons of copper from LME storage, the price of three-month 'copper' on the London Metal Exchange reached as high as $14,343 per metric ton. This is within striking distance of $14,527.50, the previous record. The shortage of supplies was eased.
Official order bans the export of copper and cobalt concentrates from Congo
A government order reviewed on Thursday shows that the?Democratic Republic of Congo banned exports of cobalt?concentrate? and copper?concentrate? as part of its efforts to increase domestic processing in an effort to retain more value for its mineral resources. The London Metal Exchange reported that the ban had been lifted. Benchmark three-month copper rose 1.8%, to $14,369.50 per metric ton. This is the highest price since January 29, when the metal reached its all-time high of $14,527.50. As of 0930 GMT, it was trading at $14300.
Andy Home: Growing stock overhang dampens hopes for a recovery in nickel.
Nickel's early year rally is a collective wager that Indonesia's multiyear production surge will finally abate, allowing for the?market rebalance to occur after four consecutive years oversupply. A growing mountain of excess metal in the London Metal Exchange (LME) or Shanghai Futures Exchange warehouses reminds us that this is likely to be a long-term process. The combined exchange inventory is 468.600 metric tonnes, which is the largest stock overhang since 2015. This is equivalent to approximately six weeks of global usage. Growth has slowed down as LME registered stocks have plateaued. The rise in Shanghai inventories has also been accelerating.
Andy Home: Investors are still betting on scarcity despite the rebalancing of ROI-Tin
What can tame a wild tin industry? The London Metal Exchange's (LME) smallest base metal contract continues to defy the market. LME 3-month tin trades?at $55,225 a metric ton. This is close to the previous all-time record of $59,040, which was reached during the febrile cross-metals rally that took place in January. In March 2022 metal prices rose in response to Russia's invasion of Ukraine. London's tin prices are up 36% from the beginning of the year. Aluminium is the next best performer, with a rise of 23%. It is also experiencing a supply shock due to the Iran War. Tin supplies, on the other hand, are stable compared to previous years.
Andy Home: Investors are still betting on scarcity despite the rebalancing of ROI-Tin
What can tame a wild tin industry? The London Metal Exchange's (LME) smallest base metal contract continues to defy the market gravity. LME 3-month tin trades at $55,225 a metric ton. This is close to the previous all-time high of $59,040, reached during the febrile cross-metals rally that took place in January. In March 2022 metal prices soared as a result of Russia's invasion of Ukraine. London's tin prices have risen by 36% in the first six months of this year. Aluminium is the next best performer, with a 23% increase. It is also experiencing a supply shock due to the Iran War and the loss of Gulf production.
The US solar industry is suffering from the price increase of aluminium due to the Mideast war.
The war in Iran has caused a shortage of aluminium, which is making racking systems more expensive. This adds to the financial pressures already being felt by an industry that has been struggling with high silver prices. Aluminium is a vital component for solar racking components, such as rails and clamps used to mount solar panels. The London Metal Exchange benchmark aluminium price has risen 15% since the end of February. CME's COMEX aluminum futures contract is up more than 30%. "I'm seeing ?roughly a 20% increase in racking selling price across solar projects," said Jim Wood, CEO of SEG Solar Inc. According to the U.S.
Andy Home: ROI-Supply is hitting galvanize Zinc as expected surplus does not show up
What is the deal with zinc? Last week, the London Metal Exchange's (LME) 3-month zinc reached a four-year high of $3633.50 per ton. This is a 13% increase since the beginning of the year. The price strength is quite surprising. The January survey of analysts produced a median average price forecast for the second quarter of $3,041.50. From 25 participants, the most bullish prediction was that zinc would average $3318 per tonne. The demand is?sluggish. More than half of the global zinc consumption is in?galvanised?steel. The long-running Chinese property bubble is a major obstacle. This year, the zinc market is expected to have a comfortable surplus.
Andy Home: ROI-Supply is hitting galvanized zinc after expected surplus does not show up
What is the deal with zinc? Last week, the London Metal Exchange's (LME) 3-month zinc reached a four-year-high of $3.633.50 metric tons. This is a 13% increase since the beginning of the year. Price strength is surprising. The January poll of analysts generated an average mean price forecast of $3 041.50 per tonne for the second quarter. From 25 participants, the most bullish prediction was that zinc would average $3318 per ton. The demand is slow. More than half of the global zinc consumption is in galvanised steel. The long-running 'bust' in China's property market is a major obstacle.
Copper prices rise as investors purchase over concerns about supply
On 'Wednesday, copper reached a new three-month-high as investors bought on future supply concerns. Middle East uncertainty kept oil prices high and higher than expected U.S. inflation dimmed the prospects for a near-term rate cut. As of 0700 GMT, the benchmark three-month copper price on the London Metal Exchange increased by 0.83%, to $14137.50 per metric ton, after having reached $14196.50. This was a three-month-high. The Shanghai Futures Exchange's most active copper contract closed the daytime trade 1.67% higher, at 108.510 yuan (15,980.15) per ton. It had also reached a three-month-high of 108.900 yuan.
Copper prices rise on Fund Buying Despite Fading Iran Peace Hopes
Copper prices rose on Tuesday, as funds bet on more gains due to supply problems and bullish technical signals. They ignored a lot of 'worries' about the lack of progress in ending the Iran War. The benchmark three-month copper price on the London Metal Exchange rose 0.4% to $13,992.50 per metric tonne by 0940 GMT. This was its highest level in over three months after a record closing on Monday. On Tuesday, hopes for a 'peace agreement with Iran' faded after U.S. president Donald Trump declared that the ceasefire was "on life-support". Alastair Munro is a senior base metals analyst at broker Marex. He referred to funds which 'use computer-driven model.
Copper prices fall as Iran's peace hopes fade and U.S. inflation figures are due
Copper prices slid from their three-month highs on Tuesday, as crude oil prices rose and Middle East peace hopes faded?after Trump rejected Iran's proposal. Economists?expect to see the biggest annual increase in U.S. Inflation in the past two-and-ahalf years. This would dampen the hopes of the Federal Reserve cutting interest rates. The benchmark three-month price of copper on the London Metal Exchange fell 0.41% at 0725 GMT to $13,894 per metric ton, after reaching a high of over $3 months earlier in the day. The Shanghai Futures Exchange's most active copper contract closed the day 2.10% higher at 105.510 yuan (15,528.28 dollars) per ton.
Shanghai copper prices are the highest in a single day since March, mainly due to supply concerns and demand expectations
Shanghai copper posted its largest daily gain in several months on Tuesday, as'supply concerns and the expectation of higher demand from China? outweighed higher oil price and Freeport's pushback against a reported delay in its Indonesian mine. Peru, which is the third largest copper producer in the world, has authorized its state-run company Petroperu, to apply for $2 billion of state-insured loan to ensure the continuity of its operation amid the high oil prices caused by the Iran War. The energy crisis is causing a shortage of copper, traders said.
Copper hits three-month peak on reports of longer Grasberg Recovery
After a report pointing to a slight delay?in the recovery of production 'at the Grasberg Mine in - - -,?tightening expectations about supply. At 0915 GMT, the benchmark three-month copper price on London Metal Exchange had risen 1.3% to $13,558.50 per metric ton. The metal had previously reached $13,619 - the highest level since January 29 when it spiked up to $14,527.50, its all-time high. Bloomberg News reported Freeport-McMoRan's goal to return to full production in Grasberg before early 2028. Last month, the U.S. mining company said that its Indonesian unit would "approach full production by the end 2027".
Rio Tinto will supply copper to Amazon to build AI data centers
Rio Tinto announced on Thursday that it will supply copper it leaches from a mine in Arizona to Amazon.com, for use in its artificial intelligence data centers. The move highlights the rampant demand by?the?AI industry to access supplies of copper and critical minerals used in building wiring, cables and circuit boards, and other electronic components. Analysts have warned that supplies may fall short and a rush is underway to ensure access. Companies that produce parts for Amazon Web Services will use the copper from Rio's Nuton Leaching Program, which is a mine owned and operated by Gunnison Copper.
Goldman projects oil prices to decline and sees gold at $4900 by December 2026. Copper remains the preferred industrial metal.
Goldman Sachs believes that gold prices will rise 14% by December 2026 to $4,900 an ounce in its base scenario. However, the firm warned of upside risks due to potential diversification with private investors. Goldman Sachs stated that it expected cyclical support and structurally high demand from central banks to boost the price of gold in a note where they discussed their views on commodities. Goldman Sachs continues to advise long exposure in yellow metal. At 1824 GMT, spot gold was priced at $4334.93 an ounce. The bank forecasted that copper prices would also consolidate by 2026, averaging $11,400 per ton.
Glencore reduces Century Aluminum stake from 33% to 33% following tariff-driven rally
Glencore cut its stake in Century Aluminum from 10% to 33%. This has resulted in millions of dollars in profit following the share price rally that was sparked by U.S. Tariffs on Aluminium Imports. On June 4, U.S. president Donald Trump increased the tariffs on aluminum imports from 25% to 50% in order to encourage investment in the production of this metal in the United States. The largest shareholder in Century is Glencore, a London-listed company. It provides Century with alumina as a feedstock to aluminium while purchasing nearly all its North American aluminum production for U.S. clients.
Copper prices continue to fall due to stronger dollar and demand concerns
The dollar strengthened on Tuesday and concerns about demand grew after the record high set last week. As of 1700 GMT, the benchmark three-month copper price on London Metal Exchange had fallen 1.6% to $10,674 per kilogram. Ole Hansen is the head of commodity strategy for Saxo Bank. He said that the pullback was a sign that the current fundamentals were not strong enough to support higher prices. The reversal also forced those who had been wrong-footed to give up. There is no immediate need for metal. Dollar prices were also affected by its recent three-month high.
Copper Notches Record High as Supply Shortages Take a Toll
The copper price hit a record of $11,146 per ton on Tuesday, as a result of a shortage in mine supplies. This was after several weeks at high levels. The London Metal Exchange's three-month copper was up 0.5% to $11,095 by 1035 GMT. It had earlier risen 1%, surpassing the previous record of $11,104.50 in May 2024. Glencore, the world's largest copper miner, reduced its guidance for annual production to between 850,000-875,000 metric tonnes, down from 850,000-890,000 metric tons earlier, further escalating concerns about mine supply. "I think that is the final straw," said Nitesh Sha, commodity strategist at WisdomTree.
Andy Home highlights the impact of mine supply strikes: ROI-Copper Study Group
Copper mine supply disruptions are nothing new, but the current year has been particularly difficult for a sector racing to meet smelter demands. According to the International Copper Study Group, several of the largest copper mines in the world have suffered unexpected production losses. The cumulative impact is expected to be felt next year. The Group's latest statistical update stated that the tightness of the market in the segment of mined concentrates will have a significant impact on the growth rate in refined copper production in 2026.
Andy Home highlights the impact of mine supply strikes: ROI-Copper Study Group
Copper mine supply disruptions are nothing new, but the current year has been particularly difficult for a sector racing to meet smelter demands. According to the International Copper Study Group, the impact of unexpected production losses will be felt next year in full force. The Group's latest statistical update said that tightness in the mined concentrats segment will have a significant impact on the growth of refined copper production in 2026. Even though the demand growth is expected to slow down next year, it's projected that metal production will fall short by 150 metric tons.