London: Copper prices climbed back above the $13,000 per tonne mark on Friday, driven by growing concerns over global supply disruptions and tightening market conditions. The rebound reflects renewed investor focus on risks to output from key copper-producing regions.
Market sentiment was influenced by reports of labour unrest, operational challenges, and delayed mine expansions in major producing countries, which have raised fears of near-term supply constraints. Traders noted that inventories remain relatively tight, amplifying price sensitivity to any disruption in production or logistics.
Benchmark copper contracts on the London Metal Exchange registered strong gains, supported by steady demand from the power, construction, and electric vehicle sectors. Analysts said expectations of sustained consumption growth, particularly from energy transition projects, continue to underpin prices.
Despite the rally, market participants remain cautious about volatility, with prices likely to react sharply to further developments around mine output, labour negotiations, and macroeconomic signals.