Copper Rally Gathers Steam on Supply Concerns and Weaker Dollar
Copper headed for the biggest weekly advance since April — with prices about 5% below the record set last year — as supply disruptions, a weaker US dollar, and optimism about demand supported gains.

Three-month futures climbed for a third day to top $10,500 a ton on the London Metal Exchange, more than 3% higher this week. The rally has been aided by a series of supply setbacks, including Freeport-McMoRan Inc.’s declaration of force majeure at the giant Grasberg mine in Indonesia.

Copper has surged by a fifth this year, despite concerns that the US-led trade war would restrain global growth. The ascent has come as the Federal Reserve resumed cutting interest rates, hurting the dollar and making commodities priced in currency more attractive for non-US buyers. At the same time, there’s optimism about demand for the metal for use in the energy transition, as well as in data centers to support artificial intelligence.

Futures rose as much as 0.4% to $10,531 a ton on the LME, equaling Thursday’s intraday peak, which was the highest since May 2024. It traded at $10,507 at 10:56 a.m. in Singapore.

Other base metals have also done well this week. Zinc climbed by more than 4%, touching the highest level this year on Thursday. Tin, meanwhile, has rallied 7% amid concerns about supplies from Indonesia.

Iron ore futures steadied at $103.70 a ton in Singapore and are little changed this week. China’s financial markets remain closed for a national holiday.