Copper Rises Amid Supply Disruptions
Copper futures climbed toward $6.60 per pound on Thursday, recovering from the previous session’s losses as supply disruptions in top producer Chile lent support to prices. Two unions at Antofagasta’s Centinela project launched industrial action on Wednesday, warning that the strike could begin affecting production within about two weeks, although the company maintained its output guidance. Chile also recently reported that copper production fell in August to its lowest level since February 2011. Meanwhile, the Trump administration has yet to decide whether to impose potential tariffs on refined copper. Earlier threats of US duties prompted traders to redirect shipments to American warehouses, contributing to the recent rally in prices. On the demand side, copper activity in top consumer China remains subdued following a weeklong national holiday, potentially creating room for restocking in the coming weeks.
60 per pound on Thursday, recovering from the previous session’s losses as supply disruptions in top producer Chile lent support to prices. Two unions at Antofagasta’s Centinela project launched industrial action on Wednesday, warning that the strike could begin affecting production within about two weeks, although the company maintained its output guidance. Chile also recently reported that copper production fell in August to its lowest level since February 2011. Meanwhile, the Trump administration has yet to decide whether to impose potential tariffs on refined copper.
Earlier threats of US duties prompted traders to redirect shipments to American warehouses, contributing to the recent rally in prices. On the demand side, copper activity in top consumer China remains subdued following a weeklong national holiday, potentially creating room for restocking in the coming weeks.