World copper prices have reached a minimum since the beginning of 2022

World copper prices have reached a minimum since the beginning of November 2022, according to the London Metal Exchange (LME). Since October 3, the price of copper has fallen below the level of $8000 per ton, and on October 6, three-month futures were already trading at $7899. This decrease is 6% since the beginning of the year and 10% since August.

A similar trend in copper prices is observed on the Comex exchange in the United States, where the price of the metal fell to $3.56 per pound, which is the lowest since the beginning of November of the previous year.

Analysts attribute the decline in copper prices to several factors, including low demand in China and the tight monetary policy of the US Federal Reserve, which leads to a stronger dollar and lower commodity prices. In addition, the strained trade relations between China and the United States also have an impact on demand and prices.

It is predicted that copper prices will fluctuate around the level of $8000/ton in the near future, but a recovery may begin in the fourth quarter of 2023. Russian producers can partially compensate for the decline in prices by weakening the ruble against the dollar, but flexible export duties may limit this benefit.