Rally on the copper market continues. Industrial metal jumped over 110% off March 2020 lows and has broken above the $9,800 mark today. Copper is trading at the highest level since March 2011 and the price looks towards a peak of the previous supercycle in the $10,160 area.
Copper is not the only industrial metal that is experiencing steep price increases as upbeat moods can be spotted on other industrial metals as well. Few reasons behind such a situation can be named. Firstly, the global economy starts to recover from the pandemic crisis. Secondly, the so-called "green push" is expected to result in massive demand for industrial metals, including copper. On the other hand, new expansions projects were scarce in recent years and given that the threat of strikes in Chilean mines remains, current supply may struggle to meet demand.
COPPER at W1 interval. Source: xStation5
