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Copper slows its bullish streak after Goldman Sachs forecast on historic highs

LONDON, Apr 28 (Reuters) – Copper prices fell from 10-year highs on Wednesday on the eve of the US Federal Reserve’s monetary policy announcement, although analysts agreed with Goldman Sachs’s forecast of the strong advance in the US. industrial metal to record levels.

* Three-month copper on the London Metal Exchange (LME) was down 0.39% to $ 9,817.50 a tonne at 1113 GMT, after hitting $ 9,965 on Tuesday, its highest level since 2011.

* Copper prices have more than doubled since March 2020, as the global economy recovers from the pandemic and transforms energy activity towards more environmentally friendly processes, which will increase consumption of the red metal . Added to this are the prospects for tighter supplies.

* “It is only a matter of time before copper exceeds the psychological threshold of $ 10,000 a ton,” said Daniel Briesemann, an analyst at Commerzbank, adding that a new record of $ 10,190 is possible soon after.

* But he stated that the current series of gains has been extended and a drastic market correction is anticipated before copper continues to rise in price in subsequent years.

* Goldman Sachs projected that the price of copper should average $ 9,675 a ton in 2021; $ 11,875 per ton in 2022; and $ 12,000 a ton in 2023.

* In Chile, the world’s largest copper producer, threats of strikes by mining workers decreased in the country after Congress passed a law to facilitate a new withdrawal of pension funds.

* Among other industrial-use metals, tin added 1.8% to $ 27,640 a tonne, after hitting a record since 2011 of $ 27,965 on Tuesday, due to global supply shortages.

* Aluminum was up 0.1% to $ 2,399 per ton, zinc was up 0.1% to $ 2,927 per ton, nickel was up 1.7% to $ 17,245 per ton, and lead was up 0.4% to $ 2,098. $ 50 a ton.

* To view base metal futures prices:

– COPPER

– LEAD

– TIN

– NICKEL

– ALUMINUM

– ZINC

(Report by Peter Hobson. Additional report by de Mai Nguyen. Edited in Spanish by Marion Giraldo)

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