No announcements about China’s desire to increase construction activity.
No movement on an infrastructure deal.
No changes in potential labor issues at the world’s largest copper mines in South America.
But the price of copper spent the week of August 27 through September 3 by hitting a peak of $4.41 and a low of $4.27 a pound, despite no major announcements.
This chart shows the price of copper for the week hit its highest point on Monday, August 30, and by Thursday, September 2 had reached its low point.
Taking you through each step, after a spike in prices last week, copper closed at $4.33 a pound on Friday, August 27.
By Monday, August 30, the price closed a $4.37 a pound after briefly reaching $4.41 a pound during trading.
The middle of the week brought speculation that factory output in Europe and China’s would be down, which was the only real economic news of the week to impact the price of copper. That led to a drop in copper prices to $4.27 a pound by Wednesday, September 1.
But prices rebounded at the end of the week to bring them back to $4.34 a pound, which is almost exactly what they were one week ago.
For the year, the price of copper is still up 20%, and compared to the price of copper at the beginning of September 2020, the price is up more than $1.30 a pound.
NAED’s Research & Data Analyst, Erin Prinster, had the following to say about today’s copper report:
My indications for copper prices this year to end on average just under $4.00/lb. as demand decreases a bit and supply catches up. However, I do see copper increasing more and more as business and government approach their goals for green technologies. That won’t be immediate. Companies are beginning to invest, but they are encountering serious bottlenecks and supply chain issues. Serious upwards price pressure on copper is unlikely until progress has been made on these issues.
For more up-to-date economic information, be sure to check out NAED’s Economic & Industry Sector Outlook.
Tagged with Biggest News, copper, economy