BASE METALS

Majors to benefit first when copper price jumps

The ongoing tariffs dispute between the US and China and its negative impact on global trade has meant much of 2019 has been a snooze-fest for observers of the red metal as copper pricing hovered around US$2.60 a pound, far below the $3.50/lb incentive price the industry requires to build new mines. However, with just 10 days of consumption in official copper inventories, conditions are ripe for copper-price appreciation once the tariff dispute is resolved.