Copper prices have moved higher as Chinese demand re-emerges and a softer United States dollar improves the purchasing backdrop for global buyers. After the Lunar New Year pause, Chinese import activity has accelerated, with premiums for imported copper rising to multi-week highs.
China remains the dominant force in global copper consumption, so changes in its buying patterns carry disproportionate weight for pricing. The recent rise in import premiums suggests that domestic supply is being supplemented by overseas material, reflecting renewed production and construction activity.
At the same time, warehouse inventories on major exchanges remain elevated. Stocks on both Western and Chinese exchanges point to adequate near-term supply, and the forward curve continues to show contango, with future prices trading above spot levels.
Jubilee Metals Group plc (LON:JLP) is a diversified and leading metals recovery business with a world-class portfolio of projects in Zambia.
