Reported 8 months ago
A recent surge in copper prices, driven by speculators more than users of copper, has prompted some industrial buyers to retreat, leading to a decline in prices. The long position on the London Metal Exchange (LME) surged from January to mid-May, mainly due to speculative bets on a supply deficit. Although the LME’s long position remains high, concerns about CTAs selling could push copper prices down to $9,000 a metric ton by year-end. Despite expectations of a copper supply deficit in the coming years, uncertainties remain due to factors such as mining disruptions and the supply of copper scrap, which is challenging to predict. Additionally, Chinese demand and economic conditions may further influence copper prices in the market.
Source: YAHOO