Copper falls as rising inventories cool supply worries
RING•Copper fell 1.14% to $14,192 a metric ton on the London Metal Exchange as rising warehouse inventories eased supply concerns, despite expectations of regional bottlenecks.
1. Inventories rise
Benchmark three-month copper fell 1.14% to $14,192 a metric ton by 0700 GMT, while the most-traded Shanghai Futures Exchange contract dropped 1.26% to 108,350 yuan a ton. LME-registered copper stocks rose for a third consecutive day, with 13,525 tons delivered to warehouses on Wednesday.
2. Regional supply signals
Wednesday’s inflows were more dispersed than deliveries in the previous two days, which were concentrated in the United States, analysts at Chinese broker Galaxy Futures said. High regional premiums continued to point to expected shortages: Codelco offered European customers a record $350-per-ton premium, Aurubis set a record premium for next year, and China’s Yangshan premium rose to $148 a ton, its highest since October 2022.
3. Technology stocks weigh
Technology-market concerns also weighed on copper, which has benefited from demand expectations linked to AI infrastructure spending. Asian stocks fell to a three-month low as technology shares led a broad selloff.
