Copper Extends Winning Streak as Thin Inventories Tighten Global Market

Copper prices edged higher on Friday, poised to extend their winning streak to ten consecutive weeks. The metal's upward trajectory is being supported by thinning inventories outside of the US and a softer dollar.

The benchmark three-month copper price on the London Metal Exchange rose 0.3% to $14,373 per metric ton, closing in on its all-time peak of $14,527.50. This week's gain is expected to be around 0.5%, building on a nine-week winning streak that began on June 29.

The market is being tightened by ballooning inventories in the US, which are driven by concerns over potential import tariffs. In response, stockpiles elsewhere have decreased. The Shanghai Futures Exchange reported a 13% decline in copper inventories to 63,000 tons, their lowest level since January 2024.

The dollar's decline, following dovish comments from Federal Reserve Governor Christopher Waller, has also contributed to the uptick in copper prices. A weaker dollar makes greenback-denominated commodities more affordable for buyers using other currencies.