Copper: Copper hit a record high of $6.06 per pound on international markets amid supply concerns. Last year's rally in prices carried over into this year. The Fed interest rate cuts, declining real interest rates, and reduced demand for the dollar have fueled the rise in prices.
According to Anadolu Agency - English, copper was particularly affected last year by US President Donald Trump's policies and supply concerns. After Trump announced in July that he would impose a 50% tariff on copper imports, the price rose above $5.90. The accident at the Grasberg mine in Indonesia, owned by US-based Freeport McMoran, also negatively affected copper supply, causing prices to rise.
Copper, like silver, is a product in demand in the green energy sector. Improved global growth expectations and increased AI investments are supporting copper prices. Continued global infrastructure investments are positively affecting base metals, with copper demand particularly standing out. The continued heavy flow of metals to the US has increased concerns about supply shortages in other regions.
Increased investment in electric vehicles and the renewal of global electricity grids are ensuring that copper demand remains strong. Demand from the US, Europe, and India is expected to continue, despite concerns about the Chinese economy. Copper is also used in the defense industry.