JPMorgan Chase and Bank of America Forecast Higher Prices for Copper Amid Sudden Supply Tightening: Report
Bank of America has upgraded its forecast on copper as supply and demand dynamics begin to favor the red metal.
BofA is projecting copper to hit $11,313 per ton in 2026, $13,501 in 2027, and then a final rally to $15,000 per ton, The Wall Street Journal reports .
The bank is also reportedly bullish on copper mining firm Freeport-McMoRan, putting a price target 13% above its last daily close, despite a shutdown of its Grasberg mine in Indonesia after a mudslide fatally injured two of its employees.
BofA analysts spoke with President and CEO Kathleen Quirk and “came away increasingly confident that our $42 per share valuation sufficiently prices the key risks around its temporarily halted Grasberg copper/gold mine in Indonesia.”
Bank of America isn’t alone in its bullish stance on copper.
JPMorgan Chase also wrote in a note seen by Bloomberg this week that it was optimistic on copper due to a “supply-driven tightening.”
“This supply-driven tightening now makes us optimistic about copper prices over the next six months, and we now see LME prices averaging $11,000 per ton in the fourth quarter of 2025 before rising further to an average of $11,250 per ton in the first quarter of 2026.”
And noting the massive losses from the Grasberg mine, Société Générale analysts estimated that “Copper will post its largest deficit since 2004,” further intensifying supply constraints.
Copper is currently trading at $10,181.50, according to data from the London Metal Exchange (LME).
Generated Image: Midjourney
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Crypto’s Susceptibility to Quantum Attacks Revealed in North Korea’s $30 Million Breach
- South Korea's Upbit suffered a $30M hack by North Korea's Lazarus Group, exploiting Solana wallets and using multi-chain laundering to convert stolen assets into Ethereum . - Hackers employed "Harvest Now, Decrypt Later" tactics, storing encrypted data for future quantum decryption, raising concerns about current encryption standards. - Dunamu halted transactions and faces potential fines, while the attack coincided with its $10.3B Naver Financial merger, sparking timing scrutiny and regulatory delays. -
Solana News Today: Solana Price Swings and Institutional Trust: $140 Emerges as Key Breakout Trigger
- Solana's price nears $140 threshold as technical indicators and record ETF inflows signal institutional-driven structural shift. - $621M in 21-day ETF inflows highlight growing institutional adoption, contrasting with Bitcoin/Ethereum outflows and positioning Solana as a long-term capital magnet. - Franklin Templeton's pending ETF filing and stable derivatives positioning suggest imminent catalysts could trigger breakout or consolidation. - Market remains in holding pattern with $140 resistance critical
XRP News Update: Regulatory Transparency Drives XRP ETF Boom, $643 Million Invested During Initial Month
- XRP ETFs saw $643M net inflows in their first month, driven by regulatory clarity and institutional demand. - Grayscale, Franklin Templeton, and Bitwise led XRP accumulation, holding 0.5% of its market cap via ETFs. - XRP ETF inflows outpaced Solana and Dogecoin , with $243M peak daily inflows boosting market pressure. - Analysts highlight XRP's cross-border payment utility as a key differentiator from speculative altcoins. - Sustained inflows could push XRP toward $3 if ETF demand mirrors Bitcoin's 2024
Institutional Investments Reflect Trust in Gen Digital as Gen Z Shows Unexpected Preparedness for Retirement
Trending news
MoreCrypto prices
More
