Copper falls as inventories rise, supply worries ease

Copper prices weakened on Wednesday as rising warehouse stocks and reduced supply concerns outweighed record premiums being offered for next year’s deliveries, Business Recorder reported. Three-month London Metal Exchange copper fell 0.7% to $14,319.50 a metric ton by 1040 GMT, retreating from $14,700 on October 14. LME holdings increased by 11,475 tons, an 8% rise over a week, while readily available stocks grew 40%.

Macquarie analyst Alice Fox said current prices appeared high relative to global inventories and anticipated surpluses in coming years. In Shanghai, the November copper contract finished 0.2% higher at 109,390 yuan ($16,379.43) a ton, while Codelco offered customers a record $350 per ton premium over the LME price for 2027 deliveries. US warehouses contain roughly 70% of exchange-visible copper stocks, although buyers in Europe face tight regional supply. Nickel gained 2.1% on expectations of possible production cuts by Chinese operators in Indonesia.