Copper futures climbed above $6.6 per pound on Tuesday, rising for a second straight session as supply constraints persisted. Recent data showed that copper production in Chile, the world’s largest producer, fell 9.4% in July from a year earlier, underscoring tighter conditions in global markets. Operational disruptions in Chile, as well as in major producers Indonesia and the Democratic Republic of Congo, have further intensified concerns about supply.
At the same time, signs emerged that a recent supply squeeze in London is beginning to ease, with the premium of spot copper over three-month futures narrowing. The London Metal Exchange also reported an improvement in inventories as metal deliveries increased. Still, traders continued to redirect copper shipments toward the US in anticipation of possible new import tariffs, with the White House yet to announce a decision.
