Copper Surges Past Record High on AI Infrastructure Demand
Copper prices have reached record highs as robust demand for the industrial metal continues to fuel its upward trajectory. The Copper futures contract (HGU6) closed the session with a marginal price decline, following an intraday movement that pushed it to $6.86, a level previously unseen in the market.
The strong demand is largely driven by the rapid expansion of data centre infrastructure, which requires significant amounts of copper for its construction and operation. Additionally, production disruptions in Chile, the world's largest producer, have contributed to supply constraints, further driving up prices.
A technical analysis of the Copper futures contract reveals that it is navigating strong bullish momentum. The price remains above its 50-day, 100-day, and 200-day Simple Moving Averages (SMAs), confirming the primary bullish trend. If the short-term resistance at $6.72 is broken to the upside, the next prominent technical ceiling sits at the $7.00 level.