Copper Hits Record High on Supply Concerns
Copper prices have hit fresh records as supply concerns intensify. According to TradingPedia, LME copper climbed to $14,396/t for a record high, extending gains for a seventh straight week.
The cash/3M spread widened to $518.5/t in backwardation, highlighting acute near-term supply tightness. This is the strongest since October 2021.
LME inventories fell for a 42nd consecutive session to 204,975 tonnes, their lowest level since February. The decline in visible LME stocks has added further support to copper prices.
Analysts Ewa Manthey and Warren Patterson note that LME copper has broken above $14,000/t for the first time. They attribute this to growing signs of tightness in the physical market, constrained supply, and falling exchange inventories.