Copper Hits Record High Amid Tariff Uncertainty
Copper prices reached a historic peak of $14,779 per ton on the London Metal Exchange. This surge follows a multi-day rally driven by expectations of expanded U.S. tariffs.
Copper reached a record high of $14,779 per metric ton on the London Metal Exchange on Tuesday. The price rose 46% over the past 12 months. This increase is driven by supply constraints and rising demand from electrification.
New York futures traded at $6.89 per pound on Wednesday. This marked the highest level on record for that market. Citi Research projects the metal will reach $15,000 per ton by year-end 2026.
Supply Constraints Drive Price Increases
Citi Research identifies an acute global supply constraint as the primary driver. This factor offsets tepid cyclical demand growth. The firm expects copper to hit $17,000 per ton in a bull case scenario.
Investors view structural risks as skewing bullish. The probability of reaching the higher price target is estimated at 30%. This outlook supports the recent ascent in mining share prices.
BHP Pivots to Copper Production
BHP Billiton has made copper its top produced metal. The metal now accounts for 54% of the company's fiscal year 2026 revenue. This revenue figure stands at $18.19 billion.
BHP plans to increase copper output by 40% by 2035. Global demand is projected to exceed 50 million tons by 2050. The company offers a dividend yield of approximately 4%.
Eldorado Gold Offers Dividend Yield
Eldorado Gold Corp. provides a 0.48% dividend yield. The company operates mines in Canada, Greece, and Turkey. It was recently recommended by analyst Jim Woods.
Woods highlights the potential for capital appreciation in the stock. Eldorado benefits from the broader rally in copper prices. This follows the trend identified in GN auto markets/commodities: copper prices reports.
