Copper Hits Record High at $14,533 per Ton on London Metal Exchange

Copper prices have surged to an all-time high of $14,533 per ton on the London Metal Exchange (LME), driven by tightening supplies and a softer US dollar.

According to Pareen Pattni, Commodity Research Analyst at Motilal Oswal Financial Services, the market is becoming increasingly tight outside the US, with inventories falling in China and the LME system.

The divergence between elevated inventories in the US and declining stocks elsewhere suggests that copper demand may be outpacing supply, reinforcing the bullish fundamental backdrop.

Pattni estimates that minor dips in copper prices are likely to be viewed as buying opportunities as long as underlying tightness in inventories and strong long-term demand outlook remain intact.