MARKET COMMENTARY
In April, 3M LME copper traded within a range of 12,212–13,481.5 usd/ton, reflecting heightened volatility driven by geopolitical developments in the Middle East and shifting global growth expectations.
Throughout the month, copper prices experienced a volatile trend. In the early part of April, markets showed a weak performance amid a cautious stance toward developments in the region.
In the first days of the month, an announced ceasefire agreement provided some relief to global growth concerns, offering support to prices. However, ongoing Israeli military operations and uncertainties regarding the durability of the ceasefire limited further upside momentum.
At the beginning of April, copper prices posted a strong rally, reaching as high as 13,481.5 usd/ton, supported by concerns over potential supply disruptions following U.S. statements regarding a possible naval blockade in the Strait of Hormuz targeting Iran.
In the later part of the month, prices gave back part of their gains. Renewed geopolitical tensions in the Middle East, following statements from the U.S. President regarding the ceasefire process with Iran and the seizure of an Iranian oil tanker in international waters, increased market volatility. In addition, the strengthening U.S. dollar also weighed on copper prices.
As a result of these developments, 3M LME copper closed April at 13,019 usd/ton, recording a 5.14% monthly gain.