Copper prices are poised for a weekly gain, driven by strong signals of demand from China and concerns over potential supply disruptions. The metal saw a rise of up to 1.2% on the London Metal Exchange on Friday, building momentum after trading commenced on the key Chinese bourse.
Inventories in China, the world's top consumer of copper, are currently low following a recent national holiday. This has set the stage for possible restocking efforts in the coming weeks. A recent gauge of import demand reached a four-year high, further underscoring the robust appetite for the metal.
The market's optimism was also fueled by worries over a potential supply disruption at a major Chilean mine. These combined factors have contributed to the upward trend in copper futures.