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Copper Near Records as Banks Split and Mercuria Pulls Metal From LME

Tariff‑driven US flows have tightened deliverable stocks on the exchange.

Overview

  • Benchmark LME futures topped about $11,700 a ton in recent trade, extending a powerful rally tied to tariff hedging and regional arbitrage.
  • Mercuria ordered roughly $500 million of copper withdrawn from LME warehouses, with inventory cancellations among the largest in more than a decade.
  • Goldman Sachs says the breakout above $11,000 is unlikely to last, projecting a roughly 500,000‑ton surplus this year and about 160,000 tons in 2026 with no shortage until 2029.
  • Citigroup and JPMorgan remain constructive, flagging a potential refined deficit in 2026 and price targets around $12,500 to $13,000 next year.
  • Goldman expects Chinese copper consumption to drop nearly 8% year over year in the fourth quarter, then grow about 2.8% next year.