Copper Price Jumps to £4.92 / kg as Stocks Drop to 216 kT

July 1, 2020by Ruth Smart

The price of copper has jumped over the last couple of weeks as the global economy gets back to work and stocks falling proves that this is demand led and not just speculators, although whether copper can sustain this price level remains to be seen.

Copper has not been over £5 / kg since 2018 and even then it was only briefly. A sustained price above £5k has not been since the 2011 reaction to the 2008/09 financial crash and subsequent recovery. Right now miners and refiners will be selling as much copper as they can as even marginal producers will be profitable at this price.

I expect that the price will drop down to £4.50 / kg as the copper supply chain reacts to the price surge and the growing risk of a second wave undermines economic recovery in Europe and North America.