Chile: Copper prices rise again in September
October 3, 2017
Copper prices rose for the fourth consecutive month in September, reaching their highest level in well over two years. Copper prices averaged USD 2.98 per pound (equivalent to USD 6,577 per ton) in September, up 1.3% from August’s average price of USD 2.95 per pound. In annual terms, copper prices increased 39.3% in September.
Despite pulling back more recently from the peak reached in early September, prices still rose on average last month, with investors bullish on the back of solid demand from China. In addition, speculative buying has undoubtedly had a part to play in the frothy market, with investors excited about the potential for greater electric car use to boost copper demand; copper is present in much greater quantities in electric vehicles than in those with traditional combustion engines.
Author: Oliver Reynolds, Economist