Copper's rise to more than $11,000 a ton isn't supported by fundamentals, according to trading firm Trafigura.
AdvertisementSupply and demand fundamentals haven't been enough to support copper's sky-high rally.
Instead, the commodity's massive bull run is thanks to expectations of interest-rate cuts, according to the commodity-trading firm Trafigura.
The pattern isn't exclusive to copper only, as other metals have also disassociated from their fundamentals in 2024, Rahim said.
According to Bloomberg, Trafigura is an entrenched copper bull, forecasting in 2021 that the industrial metal could eventually hit $15,000 a ton.
Persons:
—, Saad Rahim, Rahim, Trafigura, Jeff Currie
Organizations:
Service, Federal Reserve, Bloomberg