Goldman says copper is the new oil, raises price forecast

A employee labels copper merchandise at Truong Phu cable manufacturing unit in northern Hai Duong province, outdoors Hanoi, Vietnam August 11, 2017.

Kham | Reuters

Copper costs are anticipated to rise, as the transition to inexperienced vitality accelerates and the provide of the metallic tightens, says Goldman Sachs.

Based on an anticipated spike in demand, coupled with an already tight market in the wake of the pandemic, the agency raised its forecasts on copper. Goldman now sees costs common $11,000 per metric ton over the subsequent 12 months.

On Wednesday copper traded round $8,900 per ton, in line with information from the London Metal Exchange.

“Copper is the new oil,” Goldman stated, including that there is “no decarbonization without copper.”