Indonesia Smelter Shutdown Fuels Record Copper Rally as Global Stockpiles Shrink
Copper futures climbed to $6.61 per pound on COMEX, five days after setting an intraday record of $6.7045. The rally is driven by a three‑front supply collapse, highlighted by the Gresik smelter outage in Indonesia and recent disruptions in Chile and the DRC. London Metal Exchange inventories have fallen to roughly 223,000 metric tons, underscoring the scarcity of deliverable copper.
Copper futures climbed to $6.61 per pound on COMEX, five days after setting an intraday record of $6.7045. The rally is driven by a three‑front supply collapse, highlighted by the Gresik smelter outage in Indonesia and recent disruptions in Chile and the DRC. London Metal Exchange inventories have fallen to roughly 223,000 metric tons, underscoring the scarcity of deliverable copper.
Short‑term, copper prices are likely to stay elevated as inventory levels remain tight and buyers pay urgency premiums. Medium‑term, the sustained supply squeeze could support higher price floors, benefiting projects in AI data centers, EV manufacturing, and renewable grids that rely on copper.