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Copper prices hit a record high of more than $14,000 a metric ton on Thursday, as speculators extended their buying spree, encouraged by expectations of strong demand and supported by a weak dollar and geopolitical concerns.
They ignored warnings by some analysts that high prices would chill physical demand by industrial consumers and was not being supported by current supply/demand fundamentals.
Benchmark three-month copper on the London Metal Exchange jumped 9% to an all-time high of $14,268 a metric ton, paring gains to $14, 147 by 1315 GMT.
In LME official open-outcry trading, copper gained 6.6% to $13,950 a ton.
"Copper posted its biggest one-day gain in years... driven by intense speculative trading by bulls in China," Neil Welsh at Britannia Global Markets said in a note.
"Investors are piling into base metals on expectations for stronger U.S. growth and more global spending on data centres, robotics and power infrastructure."
Copper, used in power and construction, is a key metal needed for the energy transition, but global exchange-monitored inventories are at high levels, especially in the U.S.
The most-active copper contract on the Shanghai Futures Exchange closed daytime trading 6.7% higher at 109,110 yuan ($15,708.77) a ton, after setting a record of 110,970 yuan.
The gains came despite weak spot physical demand in the biggest consumer market China. The Yangshan copper premium , a gauge of Chinese demand for imported copper, declined to $20 a ton on Wednesday, the lowest since July 2024 and down from $55 in December.
Copper is also rising due to a spillover of interest for hard assets, which have sent gold and silver to records, partly due to geopolitical tensions, traders said.
Also supporting metals was a weaker dollar index, which was close to multi-year lows, making commodities priced in the U.S. currency cheaper for buyers using other currencies.
LME aluminium gained 2.1% in official trading to $3,325.50 a ton, the highest since April 2022, zinc surged 4.4% to $3,513, the strongest since August 2022, lead added 1.6% to $2,049, nickel jumped 3.6% to $18,025 and tin climbed 1.5% to $56,795.
($1 = 6.9458 Chinese yuan renminbi)
(Reporting by Eric Onstad Additional reporting by Lewis Jackson and Dylan Duan in China; Editing by Shilpi Majumdar and Tasim Zahid)





















