The Investment Potential of Copper

In this podcast, Edmund Shing and Xavier Timmermans discuss the recent copper high levels and their high value potential

• Copper is crucial in various sectors, including electronics, housing, electrical transmission, defense, and the energy transition, making it a vital commodity in the modern economy.

• The global supply of copper is limited while demand is growing, leading to persistent supply/demand deficits. This imbalance is expected to continue in the coming years.

• Copper has surged 27% in 2024, reaching over $10,000 per tonne. Global copper miners have also seen a 32% increase, reflecting a strong market performance.

• Geopolitical and environmental issues, such as production difficulties in Chile, and the closure of mines in Panama, have constrained supply. Additionally, the banning of copper imports from Russia by the US and UK is fuelling supply concerns.

• Investing in copper can be done directly through metals ETFs and mining stocks. Mining companies are favoured due to their potential for high dividends, providing income while waiting for the market to improve.

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