Copper prices have been forecasted to reach an all-time high later this year, according to commodity trading company Trafigura.
Prices reached a one-month high today, currently trading at US$4.1/lbs, as concerns surrounding supplies intensify.
Data from the London Metal Exchange noted that inventory levels fell to 56,000 tonnes, the lowest level since 2005.
To add to woes, Chile, the world’s largest copper producer, said its state-owned mining company Codelco expects output to shrink by 7% in 2023.
This is on top of a 10.6% decline in output in 2022.
Shares in FTSE 100 copper companies Glencore were up 1% to 488p, while Antofagasta gained 1.4% to 1,602p.