Copper prices rose by 0.54% to settle at 846.05 due to changing market dynamics and persistent supply-side issues. The closure of Cobre Panama mine since December has caused a global shortage of copper concentrate, which has supported prices.
Bans on Russian production of nickel, copper, and aluminum by the US and UK have further tightened supply. However, higher inventories forced investors to liquidate positions and lock in profits, and the surge in copper prices caused some destruction of demand in China.
Copper prices were sustained by the declining US dollar and a dovish outlook for Federal Reserve monetary policy. China’s strong performance in copper output influenced market attitude.
