Copper Hits Record High as Supply Squeeze Points to $6.85 Target

Key Point

Copper set a fresh all-time high this week as the daily chart pointed to $6.85 as the next upside target. The Comex September contract touched $6.7045 per pound on Tuesday. Copper trades near $6.72 on Wednesday, up roughly 17% in 2026 and more than 50% in the past 12 months. Bloomberg calculations based on customs data show more than 200,000 tonnes of copper arrived at US ports in July, the largest monthly inflow since records began in 2014.

Market Sentiment

Cautiously Bullish, Macro-driven, Volatile.

Reason: Copper set a fresh all-time high this week, so commodity momentum may stay positive while overbought conditions limit conviction.

Similar Past Cases

This type of commodity breakout typically attracts trend-following demand when physical tightness supports the move. The difference is that policy-driven stockpiling can reverse faster than mine or shipping constraints.

Ripple Effect

Higher copper costs could affect risk appetite through inflation expectations and industrial margin pressure. If tariff details reduce the US premium, then the spillover may stay concentrated in copper rather than broader commodities.

Opportunities & Risks

Opportunities: Watch whether copper holds the $6.60 breakout zone, because sustained support would keep the $6.85 target in focus.

Risks: Watch whether a refined copper tariff exemption appears, because a similar exemption would weaken the US premium.