Copper prices are down by 20% in the second quarter. It’s the biggest quarterly drop since 2011. The biggest contributing factor is the COVID-19 lockdowns and slowing economic growth.
China uses more than half the world’s industrial metals, but their return from manufacturing couldn’t stop the decline in the copper market. Copper broke the $8,000 level on the London Metal Exchange (LME) and other base metals dropped as well. Copper for delivery in September, touched a low $3.55 per pound ($7,834 per ton) in trade on the Comex market in New York.
China’s manufacturing expanding its fastest in 13 months in June, with a strong rebound in output, a private sector poll showed on Friday.
Global copper demand is assumed to grow around 2 to 3% this year to 26 million tons. The metal experienced 4 to 5% growth in 2021.
