FX.co ★ Copper Rises Ahead of Industry Meeting in China

Copper futures rose above $5 per pound on Tuesday, achieving their highest level in nearly two weeks. This comes as investors prepare for a significant industry conference in Shanghai, where mining companies are anticipated to advocate for stricter supply terms for 2026. Over the past year, the global copper-processing sector has encountered historically low annual treatment and refining charges, largely due to China's metal-processing capacity exceeding its mined production. In Chile, the state-owned company Codelco has proposed a record premium of $330 per ton for metal sold to South Korea, surpassing the $325 per ton premium offered to European buyers. Additionally, copper prices have been buoyed by renewed optimism regarding potential interest rate cuts by the US Federal Reserve in December, following dovish indications from policymakers. Market expectations now suggest an 81% likelihood of a 25 basis point rate reduction next month, a significant increase from 42.4% just a week earlier.