Copper prices rallied late last week on the heels of severe weather striking several South American mines, as well as labor issues cropping up in Indonesia.
According to a report from MarketWatch, copper prices climbed 1.12% to $5,688 per metric ton on the London Metal Exchange last Thursday morning.
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Copper had previously opened the month on the low end, but unexpected weather and labor issues quickly reversed that trend:
“Those mine disruptions in Chile are the major supply-side news this week,” BOCI Global Commodities’s Xiao Fu told the news source.
In China, import data revealed an 8.5% month-over-month increase in refined copper imports.
“That increase is a fairly substantial one and is helping prices rebound after being beaten up over the past few weeks,” ETF Securities strategist Nitesh Shah told the news source.
Copper Prices Affected by Chinese Demand
The MetalMiner Copper MMI remained steady in June. Writes our own Irene Martinez Canorea:
“Currently, copper prices are directly affected by Chinese demand, as well as by uncertainty in supply. This downtrend in copper prices might be just a brief pause in a dynamic market. Thus, copper-buying organizations should watch the market closely, looking for a possible uptrend that would show a recovery.”
How will copper and base metals fare in 2017? You can find a more in-depth copper price forecast and outlook in our brand-new Monthly Metal Buying Outlook report. For a short- and long-term buying strategy with specific price thresholds: