Copper Prices Rebound Amid Unprecedented Inventory Tightness
Copper has largely reversed the decline seen after the Iran war, supported by firm demand and hoarding activity. Unencumbered inventories are at record lows, especially in China’s State Reserves Bureau and landlocked U.S. stocks, tightening supply. Algorithmic traders are positioned to add up to 13% of their maximum size if prices continue to climb.
Copper has largely reversed the decline seen after the Iran war, supported by firm demand and hoarding activity. Unencumbered inventories are at record lows, especially in China’s State Reserves Bureau and landlocked U.S. stocks, tightening supply. Algorithmic traders are positioned to add up to 13% of their maximum size if prices continue to climb.
In the short to medium term, copper is likely to experience upward price pressure as tight inventories and algorithmic buying push the market toward a potential crunch. Traders should watch inventory releases and algorithmic flow data closely, as further gains could ripple into copper‑based alloys and downstream steel demand.