28.11.202514:25:10UTC+00Copper Rises to 4-Month High

Copper futures in the United States have surged beyond the $5.1 per pound threshold, reaching their highest point in four months amid escalating concerns over limited supply. This uptick has been prompted by a series of production interruptions at key mining sites, compelling sellers to inflate prices throughout the fourth quarter. Notably, operations were halted at Freeport-McMoRan's Grasberg mine in Indonesia following a fatal incident, which impacted a source that contributes over 3% to the global copper supply. Additionally, there are indications that production recovery in Chile and Peru is set to decelerate due to ongoing protest activities. As a response, Codelco, Chile’s state-owned mining company, has extended record-high price offers to Chinese buyers, suggesting a strategic pivot towards prioritizing US markets. Copper futures, along with other base metals, have also been bolstered by anticipated actions from the US Federal Reserve, which is expected to reduce borrowing costs again this year. This move is likely to benefit domestic manufacturers and decrease prices for commodities traded in dollars.