The LME price of copper has edged higher over the last few weeks to GBP 7.85 / kg while bonded stocks have recovered to 105 kT.
Falling consumer demand due to the recent jump in energy prices and the ongoing Covid issues in China have reduced demand while producers have been able to increase supply. This has led to increased LME stocks but prices are not falling due to higher energy costs causing inflation at levels not seen for decades.
Inflation is unlikely to ease this year due to the continuing war in Ukraine putting pressure on both energy costs and food costs.
