Copper Prices Soar as Supply Tensions Reach Record Levels

Copper prices are on the rise, heading towards a record high on the London Metal Exchange (LME) as supply tensions build.

The metal's spot price has traded as much as $478 a ton above contracts for delivery in three months, marking the biggest gap since 2021. This phenomenon is known as backwardation and is typically seen when near-term demand outstrips availability.

The current squeeze on copper supply is causing intense competition among buyers, driving up prices to record levels.