Copper Prices Near Record as Chinese Buyers Stock Up Ahead of Holidays

Copper prices continued their upward trend on Tuesday, closing in on a new record as Chinese buyers stock up ahead of holidays and inventories dwindle in Shanghai and London.

The Comex copper for December delivery rose as much as 1.6% to $6.8710 a pound in New York, reaching within a stone's throw of the record settlement of $6.8885 set on September 9.

Benchmark three-month copper on the London Metal Exchange also increased by 0.7% to $14,766 a tonne, nearing its peak of $14,875 reached on September 10.

The physical market is tightening due to shrinking inventories in Shanghai and London, with copper stocks in SHFE warehouses having slid 70% since early June.