Copper prices soared to a record high of $14,125 per metric ton on January 29, driven by strong demand expectations and a weaker U.S. dollar. The London Metal Exchange's benchmark three-month copper contract surged 7.9% during Asian trading hours, marking the largest single-day gain in years. Speculators expanded their buying positions, anticipating increased global spending on data centers, robotics, and power infrastructure.
Analysts, including Neil Welsh from Britannia Global Markets, noted that aggressive speculative trading fueled the price surge, despite warnings that high prices could dampen physical demand from industrial consumers. The weaker U.S. Dollar Index, nearing a multi-year low, further supported metal prices by making dollar-denominated commodities cheaper for international buyers.
Copper Prices Hit Record High of $14,125 Amid Weak Dollar and Strong Demand
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