Copper Prices Soar to Record Levels on Tight Chinese Supply
Copper prices have been rising for six consecutive days, putting them in position to break records. The rally is being driven by tight supply in China's physical market. According to Shanghai Metals Market, imported copper is going directly to fabricators rather than warehouses, keeping spot supplies constrained.
China's National Day holiday from October 1 is likely to further tighten supply as logistics slow down. As a result, the Yangshan premium, a gauge of demand for imported copper in bonded zones serving Shanghai, has risen to $121 per tonne, its highest since November 2022.
The six-day winning streak is the longest in four months. Copper prices have risen about 45% year-over-year and are now within touching distance of their all-time high set in August.