Chile: Copper prices ebb in July but stay elevated
August 3, 2021
Copper prices dipped in July, coming in at USD 9,451 per ton on average, down from June’s USD 9,632 per ton. However, prices were 48.3% higher than in the same month last year and 21.6% higher year-to-date. The slight dip was likely linked to a firmer dollar on average during July, as investors reacted to surging U.S. inflation.
Notwithstanding the pullback, copper prices remained extremely high by historical standards, supported by the loosening of global restrictions and strong demand from the electric vehicles and renewable energy sectors. These same factors should continue to keep prices fairly elevated ahead, while potential near-term strikes at several Chilean copper mines pose upside risks.