The Copper Monthly Metals Index (MMI) surged by 10.6% for this month’s reading, as the copper price has soared to a record high.
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Copper prices reach record highs
Last month, MetalMiner’s Stuart Burns dissected various views on the copper market after prices had retraced from a February peak of around $9,600 per metric ton.
Would the price go up or would it languish? As he noted, banks held differing opinions, with Goldman Sachs being particularly bullish on the red metal.
“JP Morgan is forecasting copper prices to peak at $9,000 per ton this quarter and slide back to $7,865 per metric ton over the second half of the year,” Burns wrote last month. “It argues more plentiful mine supply will take the steam out of the copper market.
“Copper consumers no doubt hope JP Morgan have got it right.
“But as Reuters observes, smelter stocks are low and will take time to replenish. In the meantime, the lack of smelter output in Q2 will leave the market undersupplied in what remains a robust demand environment.”
The answer to the aforementioned question did not take long to materialize.
After previously touching 10-year highs, the copper price has continued to rise and hit record highs this month.
The LME three-month copper price closed Monday at $10,720 per metric ton, up a whopping 19.32% from the previous month.