Copper prices hit record highs on global markets
The cost of three-month copper futures on the London Metal Exchange (LME) reached a new historical high, exceeding $14,600 per ton.
Consensus
- Copper prices reached new historical highs on both the LME and COMEX exchanges.
- The price increase is linked to strong structural demand from electric vehicles, renewable energy, and AI infrastructure.
- Supply constraints due to mine disruptions and low ore grades are contributing to the price rise.
- Analysts warn of potential market correction if demand from AI infrastructure falls short or trade tensions ease.
- Copper prices have risen significantly year-to-date, with gains of 16-17% on the year.
Points of divergence
- The COMEX price of copper reached $6.87 per pound, and the LME daily high was $14,690.8 per tonne. — vedomosti
- Shanghai Futures Exchange prices reached 110,900 yuan ($16,400) per tonne during trading, exceeding the previous high set on January 30. — kommersant
- The price surge is partly driven by expectations of new U.S. import tariffs on copper starting in 2027. — vedomosti
- The shift of physical copper shipments toward the U.S. due to upcoming 2027 import tariffs is increasing global supply pressure outside the U.S. — kommersant
- Analyst Denis Ikonnikov from SberInvestments believes the current premium includes speculative elements tied to AI hype and tariff expectations. — vedomosti
- Analysts from Everbright Futures attribute the price rise to the reallocation of physical copper shipments to the U.S. in anticipation of 2027 tariffs. — kommersant
Coverage (2 sources)
- Market value of copper set a historical record — Ведомости
- Market price for copper reached record $14,600 per ton — Коммерсантъ