Copper Prices Poised for Third Straight Monthly Gain Amid Tight Market
Copper prices are holding steady and poised for their third consecutive monthly gain as China's factory activity picks up and physical market tightens.
The metal has rallied 7.9% so far in the third quarter, notching a record high of $14,875 on September 10, according to data from the London Metal Exchange.
Ewa Manthey, commodities strategist at ING, said copper is finding support from expectations of a relatively tight market balance over the coming quarters, despite uncertainty around global growth and trade policy.
A supply squeeze is deepening due to declining mine production colliding with relentless Chinese demand, geopolitical stockpiling, and acute strike risks in South America. Chile's top copper producer is feeling the strain as workers at Antofagasta's Centinela mine have rejected a contract offer, triggering a mandatory arbitration phase.