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Copper’s boom continued last week, iron ore picked up after the Lunar New Year break, oil fell, especially on Friday and gold again weakened despite rising (and silly) fears about inflation, especially in the US. Those fears saw US bond yields return to levels of a year ago close to 1.4% before settling back around 1.34% for the key 10-year bellwether US treasury bond.

The bullishness saw the Aussie dollar jump well past 78 US cents on Friday night to end the week around 78.78 US cents, up nearly 1.5% for the week. The currency looks like it is on its way to 70 US cents. Friday’s close was the highest since March, 2018.

Copper though grabbed the headlines as it surged to its highest in nearly a decade on Friday and its third straight weekly gain as tight supplies and positive sentiment towards base metals continued. The surge on Friday saw a gain of more than 4% in Comex copper futures prices alone a day after the Lunar New Year ended.

Benchmark copper on the London Metal Exchange (LME) added 2.3% to $US8,746 a tonne at one stage before sending at $US8,631 a tonne for three-month metal – a rise of more than 4% for the week. The Comex front month price settled at $US4.07 a pound, the highest it has been since September 2011. It ended after hours trading around $US4.09 a pound for a gain of more than 7% for the week.

The metal is up more than 56% since the start of 2020 and doubled in price since the lows around $US1.91 a pound in late March in the depths of the Covid sell-off. In London Markets, out month copper prices were trading around $US8,940 a tonne. A continuing supply and demand imbalance in the copper market has driven prices to these near 10-year highs.

On the supply side, the US Geological Survey (USGS) estimated global mine production of copper was 20 million tonnes in 2020, a drop of 2% compared to 2019. The top ten copper producing countries mined 15.920 million tonnes of copper last year, a 2.3% fall from 2019.

The USGS said five countries (China, DRC, Russia, Zambia and Kazakhstan) out of the top 10 increased copper output and the other five (Chile, Peru, USA, Australia and Mexico) saw declines. USGS said that global copper output declined over previous year primarily due to COVID-19 lockdowns in April and May. These disruptions significantly affected output in Peru, the second-ranked mine producer of copper, where production ... fell 12.5% in 2020.

[URL unfurl="true"]https://www.sharecafe.com.au/2021/02/21/commodities-corner-copper-copper-copper/[/URL]

<blockquote data-quote="Dona Ferentes" data-source="post: 1113207" data-attributes="member: 66457">Copper’s boom continued last week, iron ore picked up after the Lunar New Year break, oil fell, especially on Friday and gold again weakened despite rising (and silly) fears about inflation, especially in the US. Those fears saw US bond yields return to levels of a year ago close to 1.4% before settling back around 1.34% for the key 10-year bellwether US treasury bond.The bullishness saw the Aussie dollar jump well past 78 US cents on Friday night to end the week around 78.78 US cents, up nearly 1.5% for the week.&nbsp; The currency looks like it is on its way to 70 US cents. Friday’s close was the highest since March, 2018.Copper though grabbed the headlines as it surged to its highest in nearly a decade on Friday and its third straight weekly gain as tight supplies and positive sentiment towards base metals continued. The surge on Friday saw a gain of more than 4% in Comex copper futures prices alone a day after the Lunar New Year ended.Benchmark copper on the London Metal Exchange (LME) added 2.3% to $US8,746 a tonne at one stage before sending at $US8,631 a tonne for three-month metal – a rise of more than 4% for the week. The Comex front month price settled at $US4.07 a pound, the highest it has been since September 2011. It ended after hours trading around $US4.09 a pound for a gain of more than 7% for the week.The metal is up more than 56% since the start of 2020 and doubled in price since the lows around $US1.91 a pound in late March in the depths of the Covid sell-off. In London Markets, out month copper prices were trading around $US8,940 a tonne.&nbsp; A continuing supply and demand imbalance in the copper market has driven prices to these near 10-year highs.On the supply side, the US Geological Survey (USGS) estimated global mine production of copper was 20 million tonnes in 2020, a drop of 2% compared to 2019. The top ten copper producing countries mined 15.920 million tonnes of copper last year, a 2.3% fall from 2019. The USGS said five countries (China, DRC, Russia, Zambia and Kazakhstan) out of the top 10 increased copper output and the other five (Chile, Peru, USA, Australia and Mexico) saw declines. USGS said that global copper output declined over previous year primarily due to COVID-19 lockdowns in April and May. These disruptions significantly affected output in Peru, the second-ranked mine producer of copper, where production ... fell 12.5% in 2020.[URL unfurl=&quot;true&quot;]https://www.sharecafe.com.au/2021/02/21/commodities-corner-copper-copper-copper/[/URL]</blockquote>

[QUOTE="Dona Ferentes, post: 1113207, member: 66457"] [B]Copper’s boom continued last week,[/B] iron ore picked up after the Lunar New Year break, oil fell, especially on Friday and gold again weakened despite rising (and silly) fears about inflation, especially in the US. Those fears saw US bond yields return to levels of a year ago close to 1.4% before settling back around 1.34% for the key 10-year bellwether US treasury bond. The bullishness saw the Aussie dollar jump well past 78 US cents on Friday night to end the week around 78.78 US cents, up nearly 1.5% for the week. The currency looks like it is on its way to 70 US cents. Friday’s close was the highest since March, 2018. Copper though grabbed the headlines as it surged to its highest in nearly a decade on Friday and its third straight weekly gain as tight supplies and positive sentiment towards base metals continued. The surge on Friday saw a gain of more than 4% in Comex copper futures prices alone a day after the Lunar New Year ended. Benchmark copper[B] [/B]on the London Metal Exchange (LME) added 2.3% to $US8,746 a tonne at one stage before sending at $US8,631 a tonne for three-month metal – a rise of more than 4% for the week. The Comex front month price settled at $US4.07 a pound, the highest it has been since September 2011. It ended after hours trading around $US4.09 a pound for a gain of more than 7% for the week. The metal is up more than 56% since the start of 2020 and doubled in price since the lows around $US1.91 a pound in late March in the depths of the Covid sell-off. In London Markets, out month copper prices were trading around $US8,940 a tonne. A continuing supply and demand imbalance in the copper market has driven prices to these near 10-year highs. On the supply side, the US Geological Survey (USGS) estimated global mine production of copper was 20 million tonnes in 2020, a drop of 2% compared to 2019. The top ten copper producing countries mined 15.920 million tonnes of copper last year, a 2.3% fall from 2019. The USGS said five countries (China, DRC, Russia, Zambia and Kazakhstan) out of the top 10 increased copper output and the other five (Chile, Peru, USA, Australia and Mexico) saw declines. USGS said that global copper output declined over previous year primarily due to COVID-19 lockdowns in April and May. These disruptions significantly affected output in Peru, the second-ranked mine producer of copper, where production ... fell 12.5% in 2020. [URL unfurl="true"]https://www.sharecafe.com.au/2021/02/21/commodities-corner-copper-copper-copper/[/URL] [/QUOTE]

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